US EditionFed's favored inflation gauge shows consumer prices rose again in June
- On Wednesday, the Federal Reserve left its key interest rate unchanged at 4.3% as its preferred inflation gauge rose 0.3% from May to June.
- This decision followed data showing consumer prices increased 2.6% over the past year, surpassing the Fed's 2% target amid ongoing tariff-related impacts.
- Consumer spending rose modestly by 0.3% from May to June, while costs for some services fell sharply, offsetting price increases in goods like furniture and appliances.
- Fed Chair Jerome Powell noted that it is likely the tariff-related price increases are temporary, but he cautioned that fully understanding inflation trends may take longer than initially anticipated.
- The steady inflation rise and cautious consumer spending suggest the Fed may delay cutting rates, with economists noting persistent tariff pressures could keep monetary policy tight.
Insights by Ground AI
Does this summary seem wrong?
Podcasts & Opinions
112 Articles
112 Articles
Key inflation gauge picks up on goods, spending barely rises
The Federal Reserve’s preferred measure of underlying inflation increased in June at one of the fastest paces this year while consumer spending barely rose, underscoring the dueling forces dividing policymakers over the path of interest rates.
·Los Angeles, United States
Read Full Article
Washington, United States.Inflation in the United States continued to rise in June, when it stood at 2.6% in twelve months, according to the official CPE index, reference for the Fed, published on Thursday, hours before the entry into force of new import tariffs.Prices rose more than expected by analysts, which predicted 2.5%, according to the MarketWatch consensus.In May, 12-month inflation stood at 2.4%.The underlying inflation, excluding the …
Coverage Details
Total News Sources112
Leaning Left27Leaning Right15Center42Last UpdatedBias Distribution50% Center
Bias Distribution
- 50% of the sources are Center
50% Center
L 32%
C 50%
R 18%
Factuality
To view factuality data please Upgrade to Premium
