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Core Prices

All articles tagged with #core prices

economics1 year ago•1 min saved

"Federal Reserve Officials Prepare for Escalating Inflation"

Federal Reserve minutes from the March meeting revealed that all 19 officials were concerned about worsening inflation, with some disputing the idea that the high prices were one-time increases. Recent government data confirmed these concerns, showing consumer inflation rising at a pace faster than the Fed's target level for a third consecutive month. This has raised fears that inflation is stuck above the 2% target, making it less likely for the Fed to implement projected rate cuts.

via Fortune|

#core-prices #economics #federal-reserve

economics1 year ago•1 min saved

"Eurozone Inflation Eases Slightly in February 2024, Prompting ECB Caution"

In the euro zone, inflation eased to 2.6% in February, slightly higher than expected, with core inflation at 3.1%, above the 2.9% forecast. Food, alcohol, and tobacco had the highest inflation rate at 4%, while energy prices continued to decrease. Investors are speculating on a potential interest rate cut by the European Central Bank in June, but policymakers are waiting for spring wage negotiations to assess domestic inflationary pressures. Despite the headline rate moving closer to the ECB's 2% target, core inflation remains above 3%, indicating a mixed outlook for policymakers.

via CNBC|

#core-prices #economics #european-central-bank

economics2 years ago•0 min saved

Mixed Economic Signals: CPI Report, Soft Landing Hope, Fed's Impact, and Miserable Year

Consumer prices in the US rose at a slower annual rate of 3.1% in November, mainly due to a decline in gasoline prices. However, core prices, which exclude food and energy, remained steady at a 4% annual pace, indicating that underlying inflationary pressures persist.

via Barron's|

#consumer-prices #core-prices #economic-growth

economy2 years ago•0 min saved

Inflation Report Indicates Cooling Trend

Inflation in the US showed a slower decline in September, prompting the Federal Reserve to maintain interest rates at their current level. The personal-consumption expenditures price index remained steady, while core prices, excluding food and energy, increased due to higher prices for services.

via The Wall Street Journal|

#core-prices #economy #federal-reserve

economy2 years ago•2 min saved

July PCE Inflation Surges, Prompting Speculation of Fed Rate Hike

The key measure of inflation, the personal consumption expenditures (PCE) price index, increased by 3.3% in July, raising the possibility of the Federal Reserve raising interest rates again this year. Consumer spending also accelerated, which could maintain upward pressure on prices. The core PCE inflation, which excludes volatile food and energy items, climbed to 4.2%. The report shows a slightly bigger monthly pickup in inflation compared to the consumer price index (CPI). Prices of services such as healthcare and transportation advanced more dramatically. The increase in spending and a sturdy economy may lead the Fed to raise interest rates again, although consumption could slow as Americans resume student loan repayments and deplete pandemic-related savings.

via USA TODAY|

#consumer-spending #core-prices #economy

economy2 years ago•5 min saved

Federal Reserve's Inflation Index Hits 2-Year Low, Signaling Economic Slowdown

The Federal Reserve's inflation index fell to its lowest level since April 2021, primarily due to lower gas prices and slower-rising food costs. Consumer spending increased by just 0.1 percent in May, indicating a slowdown influenced by high prices and interest rates. While overall inflation eased, core prices, excluding food and energy costs, remained elevated, prompting the Fed to consider further interest rate hikes. The report also showed that Americans' incomes rose, outpacing inflation. The Fed's policymakers envision two additional rate hikes this year. Inflation has also eased in the eurozone, but core inflation remains stubborn.

via PBS NewsHour|

#consumer-spending #core-prices #economy

economy2 years ago•1 min saved

May inflation in U.S. drops to 4.0% ahead of Fed decision.

US inflation eased to 4.0% in May, down from 4.9% in April, potentially strengthening the case for the Federal Reserve to pause its tightening campaign. The reading is the slowest since early 2021 but still double the Fed's 2% target. Core prices rose in line with estimates. The CPI print is expected to play a pivotal role in the Fed's decision-making process as it begins a crucial two-day meeting today. There is an 80% chance that the Fed will keep the benchmark rate steady, while the probability of a 25 basis point increase stands at just under 20%.

via Investing.com|

#core-prices #cpi #economy

finance2 years ago•1 min saved

Fed's Rate Pause Bolsters Case for Cooling Inflation and Rallying Stocks.

The US core CPI prices are expected to have risen by 0.4% in May, in line with continued strength in the labor market that will have worked to support demand, implying an acceleration in the Fed's preferred sub-category of services ex. housing. However, if core prices were to accelerate to 0.5% in May, policymakers would be compelled to hike rates in June. The data is due at 8.30am user, which is 1230 GMT.

via ForexLive|

#core-prices #federal-reserve #finance

economy2 years ago•2 min saved

April CPI data shows slow moderation in prices despite Fed rate hike.

The US inflation report for April is expected to show that price pressures within the economy remained strong despite the Federal Reserve's aggressive interest rate hike campaign. Economists predict that the consumer price index will show monthly prices rose 0.4% in April, and inflation is projected to have climbed 5% annually. Core prices are also expected to climb, suggesting that underlying price pressures remain strong. The Federal Reserve is closely watching the report for evidence inflation is finally subsiding as policymakers try to cool the economy with a series of aggressive interest rate hikes.

via Fox Business|

#consumer-price-index #core-prices #economy