This week provided a reminder that inflation isn’t going away anytime soon – By Jeff Cox (CNBC) / March 14, 2024
From consumer and wholesale prices to longer-term public expectations, reports this week served up multiple reminders that inflation it isn’t going away anytime soon.
The stubbornly high prices appeared to take their toll on consumer behavior and expectations.
On a policy level, that could mean the Fed may hold rates higher for longer than the market expects.
From consumer and wholesale prices to longer-term public expectations, reports this week served up multiple reminders this week that inflation isn’t going away anytime soon.
Data across the board showed pressures increasing at a faster-than-expected pace, causing concern that inflation could be more durable than policymakers had anticipated.
The bad news began Monday when a New York Federal Reserve survey showed the consumer expectations over the longer term had accelerated in February. It continued Tuesday with news that consumer prices rose 3.2% from a year ago, and then culminated Thursday with a release indicating that pipeline pressures at the wholesale level also are heating up.
