Fed's Inflation Gauge Remains Stable, Complicating Rate Cut Predictions

Reported 1 day ago

The Federal Reserve's preferred inflation measure remained unchanged in November, indicating core prices rose 2.8% year-over-year, complicating the bank's view on future rate cuts amid new economic uncertainties. While the headline PCE inflation accelerated to 2.4%, personal income growth slowed and spending picked up slightly. The Fed has raised its 2025 inflation forecast, suggesting policy uncertainty remains as it navigates the incoming administration's impact.

Source: YAHOO

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