Inflation Progress May Be Slow And Uneven, Say Experts

According to BlockBeats, following the release of the Consumer Price Index (CPI) report on January 16, Rick Rieder, Chief Investment Officer of Global Fixed Income at BlackRock, commented that the progress of inflation might be slow and uneven. He attributed this to the significant uncertainty the economy faces due to changes in fiscal policy over the coming year. Rieder noted that alterations in tariffs and trade systems could potentially drive up core goods inflation for a period. Tina Adatia, Head of Fixed Income Client Portfolio Management at Goldman Sachs Asset Management, stated in a report to clients that the CPI data supports the argument for further interest rate cuts by the Federal Reserve. However, she emphasized that the Federal Reserve has the flexibility to remain patient. Adatia highlighted the need for more favorable inflation data to prompt the Federal Reserve to further ease monetary policy.