According to the Consumer Price Index (CPI) data for November 2023, headline inflation is moderate and has increased by 0.1% on a seasonally adjusted basis. Notably, core inflation—which does not include volatile food and energy prices—remains persistently high at 4% per year. A 6% decrease in gas prices was countered by rises in used vehicle and hotel costs. A little increase in food costs contributed to the ongoing core inflation. According to the survey, housing expenses have increased by 0.5%, while used vehicles and trucks have increased by 1.6%. According to the November Survey of Consumer predictions, there will be a little decrease in inflation predictions to 3.4% after a year. Analysts point out that a Fed rate decrease in March 2024 looks less probable despite the deceleration, highlighting the difficulty of striking a balance between inflation control.
Source: https://www.jpmorgan.com/insights/outlook/economic-outlook/cpi-report-november-2023#:~:text=While%20Wall%20Street%20tends%20to,same%20period%2C”%20Snyder%20observed.
That is interesting about the fed rate being less likely to decrease in March. It seems that there is a lot of uncertainty regarding 2024 as there are a lot of varying predictions for the fed. Do you think that they will decrease the rate in 2024 eventually?
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