Fed’s favorite inflation tracker is getting an overhaul — just as the central bank weighs interest-rate hikes. What’s going on?

The Federal Reserve's key inflation measure is undergoing significant changes at a crucial time when the central bank is divided on whether to hike interest rates this fall. This overhaul could reshape how inflation is assessed, which is vital since it directly influences monetary policy decisions. As the Fed evaluates economic conditions, these changes might provide more accurate insights into inflation trends, potentially impacting future interest rate adjustments and economic stability.