PCE Measure of Shelter Slows to 6.9% YoY in October

Here is a graph of the year-over-year change in shelter from the CPI report and housing from the PCE report this morning, both through October 2023.

CPI Shelter was up 6.7% year-over-year in October, down from 7.1% in September, and down from the cycle peak of 8.2% in March 2023.

Housing (PCE) was up 6.9% YoY in October, down from 7.2% in September, and down from the cycle peak of 8.3% in April 2023.

Since asking rents are slightly negative year-over-year, these measures will continue to slow over coming months.