Imagine the price of things going up and down like a rollercoaster! That's kind of what's happening with inflation. The Federal Reserve, which is like the money managers for the US, is watching prices very closely. They want prices to go up slowly and steadily, not too fast.
- Inflation is the rate at which prices increase.
- The Fed is trying to control inflation so things don't get too expensive.
- They look at different numbers to see how inflation is doing.
| Inflation Measurement | Number |
|---|---|
| Core PCE Inflation (Estimate) | 2.6% |
| Fed's Inflation Target | 2% |
