Wholesale Inflation Cools More Than Expected, Raising Hopes Peak Inflation Has Passed
• Wholesale inflation cools more than expected, down 0.1% monthly and up just 1% annually • Core wholesale inflation also moderates, suggesting high inflation is dissipating • Comes after hotter-than-expected consumer inflation report a day earlier • Has implications for Fed policy - rate hikes may be over, cuts could come as soon as March • Investors betting on quarter-point rate cut in March despite hot CPI report