core inflation

(redirected from Core Inflation Rate)
Also found in: Dictionary.

Core inflation

Core inflation for the Consumer Price Index, the Producer Price Index or the Personal Consumption Expenditure Deflator removes the volatile food and energy prices. The Headline inflation includes these components.

Core Inflation

A measure of inflation that attempts to predict future inflation by excluding price volatility. It is thought to be a better measure of underlying inflation as it does not account for temporary price shocks. Some economists who measure core inflation exclude certain markets that tend to be volatile, such as energy and food, while others include all markets but exclude the markets that have had the greatest volatility over the last given period.

core inflation

A measure of consumer price increases after stripping out volatile components such as energy and food. Core inflation is generally considered more accurate than changes in the Consumer Price Index in representing the economy's underlying inflationary pressures.
References in periodicals archive ?
Worse, Japan's core inflation rate could dip into negative territory soon as a drop in crude oil prices weighs on efforts to boost prices and slay deflation.
The fall in the core inflation rate is likely to add to those concerns.
The annual core inflation rate, which excludes volatile energy and food costs, rose to 2.
Similar to the headline, the annual core inflation rate declined to 11.
The core inflation rate has been moving sideways at a low level since mid 2010 amid the weak economy and internal depreciation in some countries.
On the other hand, the inflation rate for all items excluding food and energy, the so-called core inflation rate, increased 2.
3 percent annual core inflation rate from May 2011.
The non-food and non-energy core inflation rate during previous month over the same month of last year was recorded as 10.
The Norwegian core inflation rate, measured as consumer price index adjusted for tax changes and excluding energy products (CPI-ATE), was 1% on an annual basis in November 2011.
Food inflation in Egypt stood at 19 per cent in June versus a year earlier, double the core inflation rate and slightly higher than pre-revolutionary levels.
The bank is also planning to bring down its core inflation rate to 5 percent 'over the medium term.
As rents rise and more businesses are forced to pass on higher costs to consumers, the core inflation rate could rise to 1.