Inflation Progress Stalls, Putting Fed Cuts Further Out of Reach
The Federal Reserve’s preferred inflation measure remained stuck at elevated levels in March, but a feared overshoot was avoided, helping alleviate market tensions. Data released by the Bureau of Economic Analysis this morning showed the core personal consumption expenditures index rising 0.3 percent in March from the prior month, but January’s number was revised higher to 0.5 percent, bringing the three-month annualised pace up to 4.4 percent, well above the central bank’s target range. On a year over year basis, base effects saw core price growth stabilising at 2.8 percent, the same as in February, slightly higher than consensus estimates....