Goldman Sachs: Health-Care Costs Are About to Start Pushing Core Inflation Higher

The Fed will be happy to see this.

That hospital bed could get more expensive.

Photographer: George Frey/Bloomberg
Lock
This article is for subscribers only.

Health-care costs, a significant component of the Federal Reserve's preferred gauge of inflation, are poised to accelerate, according to a new report from Goldman Sachs.

"Health inflation typically outpaces economy-wide inflation, but over the last couple of years the health sector has actually been running well below the rate of core inflation," wrote economist Alec Phillips.