WASHINGTON (AP) — Consumer inflation in the United States cooled slightly last month after three elevated readings, likely offering a tentative sigh of relief for officials at the Federal Reserve as well as President Joe Biden’s re-election team.
WASHINGTON — Consumer inflation in the United States cooled slightly last month after three elevated readings, likely offering a tentative sigh of relief for officials at the Federal Reserve as well as President Joe Biden’s re-election team.
Fed Chair Jerome Powell responded by dropping his previous suggestions that interest rate cuts were likely this year. Instead, he stressed that the Fed’s policymakers need “greater confidence” that inflation is falling to their 2% target level before they would reduce borrowing rates from high levels.
The Fed’s policymakers have raised their key interest rate to a 23-year high of 5.3% in an effort to quell rising prices. Powell underscored Tuesday that the Fed will keep its rate at that level for as long as needed to fully conquer inflation, a signal that rate cuts won’t begin as soon as many people had hoped.
Some economists point to steady consumer spending on restaurant meals, travel and entertainment, categories where in some cases price increases have been elevated, likely reflecting strong demand.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Edmunds: 2024 Kia Niro versus 2024 Toyota Corolla CrossMany car shoppers simply want a vehicle that’s practical, easy to drive and relatively inexpensive. High fuel economy is increasingly a popular desire as...
Read more »
New York Rangers vs. Washington Capitals: 2024 Stanley Cup playoff series preview and pickDoes a team with a minus-37 goal differential have a puncher’s chance against the Presidents’ Trophy winner?
Read more »
United Airlines Cuts 2024 Aircraft Plan During Growth ChallengesUnited Airlines Holdings Inc.’s shares rose after the carrier forecast better-than-expected profit this quarter, tempering concerns that Boeing Co. aircraft delays and regulatory pressure will put expansion plans at risk.
Read more »
Ford resumes shipping 2024 F-150 Lightning to dealers after 2-month delaypFord had issued a stop-ship order for the top-selling electric pickup Feb. 9, shortly after the 2024 model started going out to dealerships in January./p
Read more »
Stock market today: Nasdaq sinks 2% as stocks plummet to end worst month of 2024Investors marked time ahead of the Fed's rate decision, with earnings from Amazon on deck to test prospects for a Big Tech-fueled bump.
Read more »
Asian Heritage Month 2024In recognition of Asian Heritage Month, we're amplifying the experiences and voices of Asian Calgarians with a round-up of stories from the past year.
Read more »