US inflation figures just in
![](https://www.propertyloans.biz/wp-content/uploads/2024/02/us-inflation-figures-just-in.jpg)
“Interest rate cuts are a tool the Fed uses to boost economic growth, but the markets are booming and GDP growth for Q4 came in well above expectations. The labor market remains tight and wage growth is accelerating.
“So, for the time being, economists and policymakers will continue watching the data for signs of weakness, but the Fed will not pull the trigger at its next meeting.”
Other factors under consideration for the Fed, Rust said, will be the household savings rate, the employment market, and the Personal Income and Outlays report at the end of this month. Increases in each of those data sets, he suggested, would see policymakers “reassured that they can take their time with interest rate cuts.”
CoreLogic chief economist Selma Hepp said the latest figures also added credence to the Fed’s current reluctance to consider interest rate cuts.
The results, she said, suggest a “continued slowdown” in the Fed’s inflation target, despite stubbornly high prices in the face of softening rental costs.
Comments are closed.