Inflation Data Unlikely To Prompt Fed Rate Cut, Economist Says

According to BlockBeats, TS Lombard's Chief U.S. Economist Steven Blitz stated on March 13 that recent inflation data does not signal a need for the Federal Reserve to cut interest rates. Although the Consumer Price Index (CPI) decreased from 3% to 2.8% in February, Blitz noted that anomalies within the data cast doubt on any attempts to interpret this as a trend. Blitz highlighted that the annual growth rate of goods prices, excluding food and energy, adjusted for seasonality, was 2.7% in February, an improvement from January's 3.5%, yet still unstable. He remarked that this category is where the impact of tariffs is most evident in the first round. Ultimately, as employment rates continue to rise, inflation is expected to follow suit.