Fed seen waiting longer to cut rates as inflation stays elevated (13.02.2024)
If this keeps up with another month or two of inflation staying high, you can kiss a June (rate cut) goodbye and we’re probably looking at September,” said Peter Cardillo, chief market economist at Spartan Capital Securities. "It’s a hotter-than-expected report and it’s part of what the Fed has been alluding to when it says it’s too early to say that inflation has been beaten.
After Tuesday's inflation report, traders previously betting on a rate cut at the Fed's April 30-May 1 meeting now see June as more likely.
The consumer price index was up 3.1% in January from a year earlier, down from its 3.4% pace in December but more than the 2.9% economists polled by Reuters had been expecting.