The latest Consumer Price Index reading is in line with expectations, but progress in fighting inflation has stalled. Forecasts for a slower pace of easing next year might keep mortgage rates above 6 percent.
Category: consumer price index
Numbers to know: Is the Fed having second thoughts about rate cuts?
Inflation, combined with September’s strong jobs report, suggests that the Fed might be rethinking how quickly to cut the Federal Funds Rate, says Windermere’s Principal Economist Jeff Tucker.
Inflation Expected to Cool in September C.P.I. Report
The Consumer Price Index is moderating, but September’s report contained both good and bad news for policymakers.
Fed expected to be cautious in cutting rates next week
A surprisingly large increase in core CPI, which excludes volatile food and energy prices, means Fed policymakers are likely to start out with a modest 25 basis-point rate cut when they meet next week.
Inflation Ticked Up Last Month, Backing the Fed’s Caution on Rate Cuts
Consumer prices climbed 3.2 percent last month from a year earlier, down notably from a 9.1 percent high in 2022, but still quicker than the roughly 2 percent that was normal before the pandemic.
Rents Are Falling. So Why Isn’t That Showing Up in Inflation Data?
Pandemic disruptions may have muddled the measurement of home prices in government data. That could complicate the Fed’s course on interest rates.
Will America’s Good News on Inflation Last?
One of the biggest economic surprises of 2023 was how quickly inflation faded. A dig into the details offers hints at whether it will last into 2024.
An Optimistic Inflation Report Reduces Pressure on the Fed to Raise Rates
Central bankers have been debating whether a final rate move is needed. A cooler-than-expected October inflation report may take the heat off.
Overall P.C.E. Inflation Ticked Up in July
Overall inflation climbed to 3.3 percent, from 3 percent previously, underscoring the Fed’s long road back to 2 percent price increases.
Will Inflation Keep Slowing? The Key Areas to Watch
Will inflation continue to slow at a solid pace? Economists are warily watching a few key areas, like housing and cars.