Super Hot ‘Supercore’ Torches 2024 Rate Cut Odds

About those rate cuts. They aren't coming. Not from the Fed. Not soon. The advance read on Q1 US GDP, delivered on Thursday, was accompanied by a very warm core PCE print: 3.7% versus 3.4% expected, up from 2% during the prior two periods. That's concerning enough on its own, but when you drill down to the "supercore" measure the Fed's using to benchmark disinflation progress, the picture's even more worrisome. As the figure shows, supercore price growth (i.e., core services excluding hous