The Federal Reserve’s preferred gauge for measuring inflation, the personal consumption expenditures (PCE) price index, has risen slightly in November, according to the Commerce Department’s report on Friday. This development brings the Federal Reserve closer to achieving its inflation target.

The PCE price index rose by 0.1% in November, and has climbed 3.2% since the same time last year. This data has been compared to the respective 0.1% and 3.3% that Dow Jones economists were predicting; however, the results were slightly lower than anticipated. Despite this, the overall indication of inflationary pressure still remains.

[The BEA report shows real PCE prices (adjusted for previous inflation) still up 0.3% in November, and goods up 0.5%. That’s a significant jump, but personal income did rise faster at 0.4%. The Fed may not like the current level of inflation, but they may be less inclined to intervene at this level than they have been in the past, if income keeps pace. — Ed]