Higher Core Inflation Unlikely to Derail Fed Rate Cut in September

Reported about 9 hours ago

Recent data shows that the Federal Reserve's core inflation reading has risen to 2.9%, yet this increase is not expected to prevent a possible rate cut in September. Economists highlight the importance of labor market conditions, with Fed officials monitoring a potential downturn in employment. A crucial jobs report due on September 5 may influence the decision, amid concerns about inflation being driven by rising service prices rather than goods. Overall, if inflation data remains stable, a 0.25% rate cut could be on the horizon.

Source: YAHOO

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