The week was relatively light following the release of the prior inflation data and the FOMC rate decision. The Federal Reserve decided to keep its overnight borrowing rate unchanged and has indicated no plans to make changes in the near term. Many members of the Federal Reserve Board continue to watch economic conditions closely, as inflation remains elevated across many sectors and could warrant further policy action if price pressures persist. FOMC Rate DecisionThe Federal Open Market … [Read more...]

With the inflation reports showing their cards, the Consumer Price Index has shown to be in line with expectations, but unexpectedly the Producer Price Index has come in substantially higher than expected. This may indicate that future core cost increases are headed for consumers, as rising costs are passed through producers and businesses down to the customer level. This is somewhat offset by Consumer Sentiment having risen, breaking a three-month downward trend. Largely due to the deal with … [Read more...]

Unemployment data has been released, revealing an interesting trend: different demographic groups are facing varying, and in some cases significantly higher, levels of unemployment. While the overall unemployment rate has remained steady at 4.3%, some demographics are experiencing substantially higher unemployment within their respective fields. This comes alongside hourly wage reports which have met the expected growth level for this month. Historically, however, wage growth has been offset by … [Read more...]

The PCE Index inflation data has been released on schedule, and it paints a rather grim outlook for the future. Inflation has reached a three-year high, and given that it is the Federal Reserve’s preferred measure of inflation, it does not bode well for any impending rate cuts and may even raise the possibility of future rate increases. This is somewhat offset by consumer spending having exceeded expectations, but this appears to be entirely related to high fuel prices, whether consumers … [Read more...]