BREAKING: Inflation around the U.S. rose at an annual rate of 6% rate in February, cooling from the prior month.
, hotter than expected and raising investor concerns that the Fed may need to continue hiking interest rates for longer — and higher — than previously expected in order to tame rising prices.on Friday, Fed officials were widely expected to lift their benchmark rate when they meet March 21-22. But banking industry turmoil after state regulators seized SVB and New York's Signature Bank has since thrown the central bank's calculus into doubt.
That may pose a quandary for the Fed: whether to continue boosting interest rates in its ongoing effort to tame inflation, or ease up due to the pressure from higher rates on the banking industry. "In the fallout from the sudden collapse of Silicon Valley Bank, the debate now centers on whether the Fed holds rates steady or continues to increase the policy rate by 25bps on March 22," noted Kathy Bostjancic, chief economist for Nationwide, in a report.
She added,"If financial market conditions remain volatile, the Fed might even skip raising rates on March 22, which looks increasingly likely." Housing was the largest contributor to inflation last month, accounting for more than 70% of the increase, the Labor Department said. Prices for food, recreation and household furnishings also rose.This is a developing story.
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Inflation cooled to 6% in February as the Federal Reserve weighs next steps on interest ratesPrices rose 0.4% last month from January, slightly lower than the prior monthly increase, as investors assess how the Fed may respond to the twin challenges of inflation and unrest in the banking sector when it meets next week.
Baca lebih lajut »
Consumer inflation may have cooled in February but only slightlyConsumer inflation may have cooled off a little in February, but economists expect it is still running at a high pace.
Baca lebih lajut »
February inflation report likely to show consumer prices remain elevatedThe consumer price index likely remained stubbornly high in February as inflation continues to inflict financial pain on millions of American households.
Baca lebih lajut »
Inflation gauge increased 0.4% in February, as expected and up 6% from a year ago
Baca lebih lajut »
Inflation rose 0.4% in February as prices remain stubbornly highInflation remained uncomfortably high in February, although it has cooled slightly from a peak notched in 2022, according to CPI data released Tuesday.
Baca lebih lajut »
Inflation rose 6% in February as Fed mulls more rate hikes amid bank chaosTurmoil in the banking sector raised questions about the Fed’s next move to combat inflation.
Baca lebih lajut »