Compared to CPI, the US PCE inflation rate is closer to 2%. Delta Air Lines stated that discounted airfares have affected many people

According to a Bloomberg article, despite Federal Reserve officials emphasizing the importance of considering the CPI when evaluating the inflation trajectory in the United States, they calculate based on the Personal Consumption Expenditures Price Index (PCE) rather than focusing on housing like the CPI does. This helps explain why the PCE index is closer to the Federal Reserve's 2% target. The PCE index released later this month will incorporate some categories from the CPI and the Producer Price Index (PPI) to be announced on Friday. The latest data from Delta Air Lines shows some cooling space for service inflation. Due to competition in the domestic market leading to a decrease in airfare prices, the airline's revenue forecast is weaker than expected. "Oversupply leads to significant discounts," said Delta Air Lines CEO Ed Bastian. "Like everyone else, you will be affected."