U.S. Inflation Remains Subdued as Core Index Lags Forecasts
Frances Donald, senior economist at Manulife Asset Management, discusses U.S. economic data and what it may mean for the Federal Reserve. She speaks with Bloomberg's David Westin on 'Bloomberg Daybreak: Americas.' (Source: Bloomberg)
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A below-forecast rise in the U.S. cost of living in July adds to a string of disappointing readings, potentially putting the Federal Reserve’s inflation goal even further away, a Labor Department report showed Friday.
The U.S. inflation slowdown may be getting longer, even after most economists and Federal Reserve policy makers judged it to be transitory. A more sustained ebb in price pressures could make it tougher for the central bank to stay on course for one more interest-rate increase this year.