First, emerging Asia is now at the center of global economic growth. To sustain such growth, the need for fund intermediation is also likely to increase. Hence, should new financial regulations hinder the core financial function at a global level, the negative impact on the real economy could be all the more serious.
But core inflation often gives a more accurate indicator of where overall inflation is headed. Twelve-month core PCE Throughout this discussion, PCE data for October are estimates based on the October consumer price index and producer price index data. 1  -2inflation stands at 5.0 percent in our October estimate, approximately where it stood last December when policy tightening was in its early stages.