Powell's Caution on Tariff-Driven Inflation Is Right
The Bureau of Labor Statistics said Tuesday that the core consumer price index rose 0.2% in June from a month earlier, a slightly encouraging surprise that leaves the year-over-year rate at 2.9%. But the reading remains well above the Fed's 2% target 1, and the details of the report show that tariffs are starting to fan higher prices and that larger effects might start to feed through over the next couple of months.
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