Inflation is down, but Inflation Reduction Act doesn’t deserve credit, experts say
While price increases have cooled over the past year—the inflation rate has dropped from 9% to 3.2%—most economists say little to none of the drop came from the law.
Inflation
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Wholesale inflation in U.S. edged up in July from low levels
Wholesale prices in the United States picked up in July, yet the numbers still suggested that inflationary pressures have eased this year since reaching alarming heights in 2022.
Overall U.S. inflation edges up, but core number’s rise holds steady
Inflation in the United States edged up in July after 12 straight months of declines. But excluding volatile food and energy costs, so-called core inflation matched the smallest monthly rise in nearly two years.
Yearlong slowdown in inflation might have stalled in July
Thursday’s inflation data will be among the key metrics the Federal Reserve will consider in deciding whether to continue raising interest rates.
Inflation has steadily cooled, but hitting Fed’s target rate will be toughest mile
Squeezing out the last bit of excess inflation and reducing it to the Federal Reserve’s 2% target rate is expected to be a much harder and slower grind.
U.S. employers added fewer-than-expected 187,000 jobs in July
Despite the influx of workers, average hourly wages rose 0.4% from June and 4.4% from a year earlier—numbers that were hotter than expected and are likely to worry the Federal Reserve.
Price, wage increases slow further in latest signs of cooling inflation
Consumer prices rose in June at their slowest pace in more than two years and wage growth cooled last quarter.
After raising prices sharply, corporate profits get squeezed as inflation eases
Many analysts believe margins hit bottom in the second quarter, and they’re forecasting a recovery in the second half. Others are less optimistic.
U.S. consumer confidence jumps to a two-year high as inflation eases
Tumbling inflation and sturdy hiring have raised hopes the Fed just might pull off a so-called soft landing—slowing the economy just enough to tame inflation without tipping the United States into recession.
U.S. wholesale prices for June point to further easing of inflation pressures
The government’s producer price index—which measures inflation before it reaches consumers—rose just 0.1% last month from June 2022, the smallest such increase since August 2020.
Inflation eased further in June as economy slowly cooled
A year after inflation soared to the highest level in four decades, price increases are returning closer to normal levels.
Monthly inflation report predicted to show lowest mark in two-plus years
The expected decline in overall inflation over the past 12 months would bring the figure much closer to the Fed’s 2% target and reflect the progress the central bank has made in slowing price acceleration.
Inflation gauge tracked by the Federal Reserve falls to lowest point in 2 years
Last month’s progress in easing overall inflation was tempered by an elevated reading of “core” prices, a category that excludes volatile food and energy costs.
Fed’s Powell says one or two more rate hikes might be needed in 2023
Speaking on Capitol Hill for a second day, Federal Reserve Chair Jerome Powell said returning U.S. inflation to 2% is crucial to support the long-term health of the U.S. economy.
Powell to face hearings at time of rising uncertainty over interest rates
The two days of hearings before Congress will likely focus on the question that consumed the central bank last week: How far and how fast will the Fed raise its key interest rate from here?
Fed Chair Powell sees progress on inflation, though not enough
Chair Jerome Powell offered a nuanced view Wednesday of how the Federal Reserve intends to address its core challenge at a time when inflation is both way below its peak but still well above the central bank’s 2% target.
Fed keeps rates unchanged for first time in 15 months, but signals more hikes
The Fed’s move to leave its benchmark rate at about 5.1%, its highest level in 16 years, suggests that it believes the much higher borrowing rates it’s engineered have made some progress in taming inflation.
Inflationary pressures ease, as producer prices drop 0.3%
On a month-to-month basis, overall producer prices have now dropped three of the last four months.
Inflation eased further in May, but remains above normal levels
Housing costs continue to be a major driver of overall inflation. Rent rose 0.5 percent in May over the month before, only a minor improvement from a 0.6 percent increase in April. Rental costs are still up 8.7 percent over last year.
People spending less on hotels, flights, restaurants and more
An emerging pullback should be welcome news for the Federal Reserve, which has been taking aggressive steps for more than a year to slow the economy enough to bring down inflation.