Several alternative measures of U.S. inflation showed signs of firming in June, complicating the picture for Federal Reserve policymakers as they weigh the timing of potential interest rate cuts.

The Dallas Fed’s trimmed mean PCE — which excludes the most extreme price movements each month to capture underlying inflation trends — rose at a 3.4% annualized rate in June. On a year-over-year basis, it increased 2.7%, ticking higher from the 2.6% level seen in every prior month this year, according to Wall Street Journal reporter Nick Timiraos.

Meanwhile, the Cleveland Fed’s median PCE — another alternative gauge that strips out volatility — accelerated to a 3.6% annualized rate, up sharply from 2.5% in May. Its 12-month increase rose to 3.15%, slightly higher than the 3% recorded in the previous month.

A third measure, the market-based core PCE index, which excludes imputed prices such as those assigned to housing services, rose 0.29% in June and was up 2.6% year-over-year — the highest since March 2024. That figure has steadily increased from 2.3% in April.

The firmer readings across these alternative inflation metrics suggest that underlying price pressures may be more persistent than headline data alone indicates — a dynamic likely to draw close scrutiny at upcoming Fed meetings.