US inflation rises in line with expectations in March

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US inflation rises in line with expectations in March
Financial MarketsInflation MeasuresFederal Reserve
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U.S. inflation rose moderately in March, but that is unlikely to change financial markets' expectations that the Federal Reserve will hold off cutting...

WASHINGTON - U.S. inflation rose moderately in March, but that is unlikely to change financial markets ' expectations that the Federal Reserve will hold off cutting interest rates until September.

In the 12 months through March, inflation rose 2.7% after advancing 2.5% in February. Economists polled by Reuters had forecast the PCE price index climbing 0.3% on the month and increasing 2.6% year-on-year. The PCE price index is one of the inflation measures tracked by the U.S. central bank for its 2% target. Monthly inflation readings of 0.2% over time are necessary to bring inflation back to target.

Fed officials are expected to leave rates unchanged next week. The central bank has kept its benchmark overnight interest rate in the 5.25%-5.50% range since July. It has raised the policy rate by 525 basis points since March 2022. Now, as Trump Media & Technology Group approaches its first month as a publicly traded company, it’s clear that — like the man it’s named after — there’s nothing typical about the stock. “If I woke up tomorrow and shares were zero dollars, or $100, I would not be surprised,” said Matthew Tuttle, a professional investor who bought $800 in Trump Media stock last week when it was at an all-time low.

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