Inflation Sticks Near 40-Year High Despite Fed Rate Hikes

Steve Cohen said the Fed will have a hard time getting inflation down to 2% due to underemployment putting upward pressure on prices.

Inflation rose 3.2% in February, showing it remains stubbornly high under Biden.

Prices increased due to shelters and gasoline, contributing over 60% of the advance.

Despite slowing from the 9.1% peak in June 2022, inflation is still elevated compared to the Fed's 2% target.

Jerome Powell reiterated the Fed has time to deliberate over rate cuts given recent high inflation readings and solid economic growth.