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.
Inflation
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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.
Fed’s Waller: Interest rates likely high enough to bring inflation back to 2% target
Christopher Waller, a member of the Federal Reserve Board of Governors, cautioned that inflation is still too high and that it’s not yet certain if a recent slowdown in price increases can be sustained.
Retailers offer bigger Black Friday discounts to lure hesitant shoppers hunting for the best deals
Many retailers ordered fewer goods for this holiday season and pushed holiday sales earlier in October than last year to help shoppers spread out their spending.
Why do Americans feel gloomy about the economy despite falling inflation, low unemployment?
Many factors lie behind the disconnect, but economists increasingly point to one in particular: The lingering financial and psychological effects of the worst bout of inflation in four decades.
Inflation eased in October in latest sign of cooling economy
The latest monthly report offers a dose of encouragement as the Federal Reserve looks for enough progress to let up on its fight to tame consumer prices and slow the economy.
UPDATE: Fed leaves key rate unchanged but keeps open possibility of future hike
Policymakers are grappling with how much more pressure to keep on an economy that has largely shrugged off the central bank’s moves to slow it down.
For second straight Halloween, candy inflation hits double digits
Candy giant Hershey Co.—which has raised its prices by 7% or more in each of the last seven quarters—acknowledged this week that higher prices are taking a toll on demand.
U.S. consumers still spending briskly in face of persistent inflation, high interest rates
September’s month-to-month price increase exceeds a pace consistent with the Fed’s 2% annual inflation target, and it compounds already higher costs for such necessities as rent, food and gas.
Fed chief says slower economic growth likely needed to conquer stubbornly high inflation
Federal Reserve Chair Jerome Powell said Thursday that inflation remains too high.