Inflation & Prices
March Inflation Data to Prolong Drama Around Fed Rate-Cut Timing
- Analysts expect CPI gains to moderate after recent surprises
- Rents, used cars and airfares are key components to watch
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A monthly report on consumer prices due Wednesday is unlikely to settle the debate around the timing of Federal Reserve interest-rate cuts, with forecasters expecting some moderation following elevated inflation readings at the start of the year.
The consumer-price index excluding food and energy, a key gauge of underlying inflation, probably rose 0.3% last month from February, according to the median estimate in a Bloomberg survey of economists. While that would mark a step down versus the previous two months, it may not be enough to quell concerns among central bank officials looking for even lower readings.