U.S. inflation likely stayed elevated last month as Federal Reserve looks toward eventual rate cuts
Though inflationary pressures have significantly eased, average prices remain about 17% above where they stood three years ago.
Inflation
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Fed leader: Rate cuts likely, but more evidence needed that inflation is tamed
In his remarks to Congress on Wednesday, Federal Reserve Chair Jerome Powell offered no hints on the potential timing of rate cuts.
Federal Reserve’s preferred inflation gauge increases by most in a year
January’s month-to-month price increase will likely underscore the concern expressed recently by Federal Reserve officials about the risk of cutting interest rates too soon this year.
Federal Reserve officials worried that progress on inflation could stall
In minutes from the Jan. 30-31 meeting released Wednesday, most Fed officials said they were worried about moving too fast to cut their benchmark interest rate before it was clear that inflation was sustainably returning to their 2% target.
U.S. inflation remains elevated in sign that price pressures are easing only gradually
The prices of services—hotel rooms, restaurant meals, auto insurance, apartment rents and the like—are still rising faster than they did before the pandemic and keeping overall inflation persistently high.
U.S. employers added surprisingly robust 353,000 jobs in January
Wages rose unexpectedly fast in January, too. The strong hiring and wage growth could complicate or delay the Federal Reserve’s intention to start cutting interest rates later this year.
Fed leaves interest rates unchanged but signals cuts are coming
The Federal Reserve indicated Wednesday that it’s nearing a long-awaited shift toward cutting interest rates, a sign that its officials have grown confident that they’re close to fully taming inflation.
U.S. worker paycheck growth slowed late last year, which could cool inflation
Pay and benefits for America’s workers grew in the final three months of last year at the slowest pace in two and a half years, a trend that could affect the Federal Reserve’s decision about when to begin cutting interest rates.
Inflation cooled further in December to just above Fed’s target rate
With inflation having dropped sharply after an extended period of gloomy consumer sentiment, Americans are starting to show signs of feeling better about the economy.
Wholesale inflation declined last month, signaling price pressures still easing
The Labor Department reported Friday that its producer price index—which tracks inflation before it reaches consumers—declined 0.1% from November to December after falling 0.1% in November and 0.4% in October.
U.S. inflation edges up, fueled by energy and housing prices
However, excluding volatile food and energy costs, so-called core prices rose just 0.3% month over month, unchanged from November’s increase.
Fed’s favored inflation gauge tumbles as prices continue to ease
Inflation is steadily moving down to the Fed’s year-over-year target of 2% and appears to be clearing the way for Fed rate cuts in 2024. That, in turn, could translate into lower rates on everything from mortgages to credit cards.
Dow Jones hits an all-time high as investors cheer progress on inflation
The markets have been on a celebratory tear in recent weeks, as signs pile up that the Federal Reserve may be done raising interest rates.
Federal Reserve keeps key interest rate unchanged, foresees three rate cuts next year
The Fed’s quarterly economic projections showed that its officials envision a “soft landing” for the economy, in which inflation would continue its decline toward the central bank’s 2% target without causing a steep downturn.
Wholesale inflation slowed last month, signaling that price pressures continue to ease
Wednesday’s report reinforced the belief that inflation pressures are cooling across the economy.
Consumer inflation eased slightly last month, but some costs kept surging
The latest data on consumer inflation showed that prices in some areas—services such as rents, restaurants and auto insurance—continued to rise uncomfortably fast.
Inflation likely cooled again in November, but not in all areas of economy
Tuesday’s inflation report from the Labor Department is expected to show that businesses kept overall prices unchanged for a second straight month. But a closely watched category called “core prices” is predicted to outpace the Federal Reserve’s 2% annual target.
Biz economists predict cooling inflation, recession avoidance
Only 24% of economists surveyed by the National Association for Business Economics said they see a recession in 2024 as more likely than not.
Fed’s Powell notes inflation is easing, but says further progress is needed
Inflation is slowing steadily, but it’s too early to declare victory or to discuss when the Federal Reserve might cut interest rates, Chair Jerome Powell said in prepared remarks Friday.
Economy slowed in recent weeks with inflation, labor cooling
The figures are consistent with expectations that the economy will moderate in the fourth quarter following the strongest growth pace in nearly two years.