Posted 3/12/2024, 3:32:00 PM
Inflation Rises Faster than Expected in February, Fed Remains Cautious on Rate Cuts
- Inflation ticked up to 3.2% in February, slightly higher than expected, raising questions about the path of rate cuts
- Housing and gasoline costs were the main drivers of inflation in February
- Fed Chair Powell said more data is needed before rate cuts but still expects cuts this summer
- The uptick poses political challenges for Biden as he pitches his economic record
- Core inflation rose 0.4% for the second straight month, so the debate over whether January was an aberration appears settled
