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Multivariate Core Trend (MCT) Inflation provides a measure of trend inflation and helps to understand whether inflation dynamics are dominated by a common trend across sectors or are sector-specific. For July 2025, our economists found that MCT inflation decreased to 2.7 percent in July from 2.8 percent in June. Excluding housing, services accounted for 0.55 percentage point (ppt) of the MCT estimate (down from a revised 0.59 ppt in June), while core goods accounted for 0.34 ppt (down from a rev
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