Consumer prices rise at slowest pace since early 2021
Published On Sep 11, 2024, 8:35 AM
In August 2024, U.S. consumer prices rose at the slowest annual pace since early 2021, increasing by 2.5% year-over-year, down from 2.9% in July. Monthly inflation matches July's increase at 0.2%. While the core inflation rate rose 3.2% annually, it poses complications for the Federal Reserve's expected interest rate cuts. Economic indicators signal potential rate cuts, with market expectations leaning towards a modest reduction rather than a larger one due to contradictory inflation metrics.
Stock Forecasts
SPY
Positive
With inflation data showing cooling prices, the expectation for a modest Federal Reserve rate cut remains intact. However, the complexity introduced by core inflation may create a cautious atmosphere in the market. Investors should be mindful of market fluctuations as interest rates are adjusted.
Related News
Capitalist Pig hedge fund manager Jonathan Hoenig weighs in on market rallies, his concern for everyday Americans amid inflation, and his stock pick.
Jamie Dimon warns of 'critical issues' that could affect US economy
Oct 11, 2024, 12:25 PM
JPMorgan Chase & Co. chief Jamie Dimon on Friday sounded the alarm about "critical risks" to the U.S. economy in the bank's third quarter earnings report.
Slatestone Wealth Chief Market Strategist Kenny Polcari discusses the market rallying following the inflation report, Jamie Dimon's warning of geopolitical risks, and how he fared during Hurricane Milton.