Fed's 2% inflation goal is 'just not the reality' this year
April's Consumer Price Index (CPI) report came in softer than expected, with services still showing signs of weakness and tariff impacts yet to fully hit. According to the Bureau of Labor Statistics, consumer prices rose by 2.3% in April compared to the same month last year. This marks a slight decline from March's 2.4% increase and came in just under the 2.4% growth economists had anticipated.
Wolfe Research chief economist Stephanie Roth joins Morning Brief to explain how tariffs could start showing up in prices over the next few months, and what that means for Federal Reserve interest rate cuts.
To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Upturn
4 hours ago
- Business Upturn
The Week That Was, June 1 to June 7, 2025: RBI cuts repo rate by 50 bps, BEL secures Rs 2,323 crore order, Musk-Trump feud escalates, Coal India signs MoU for rail infra
In a week marked by major policy announcements, strategic deals, and sectoral movements, the Reserve Bank of India (RBI) took centre stage by delivering a surprise 50 basis points rate cut on June 6, bringing the repo rate down to 5.50%. This marked the third straight reduction in 2025, totaling a 100 bps cut to support growth amid global uncertainty. RBI Governor Sanjay Malhotra signaled continued comfort with inflation, lowering the CPI forecast for FY26 to 3.7% from 4% and retaining GDP growth expectations at 6.5% for the year. In a liquidity-boosting move, the central bank also slashed the Cash Reserve Ratio (CRR) by 100 bps to 3%, to be implemented in four tranches between September and November, unlocking ₹2.5 lakh crore into the banking system. Further, the RBI raised the loan-to-value (LTV) cap for small gold loans up to ₹2.5 lakh from 75% to 85%, a move that significantly benefited gold financing stocks. Among corporate highlights, the RBI gave a clean regulatory signal to IndusInd Bank, affirming its accounting standards, which pushed its shares up by over 5%. Infrastructure firm Ashoka Buildcon, however, faced a setback as its ₹1,673 crore project under CIDCO's NAINA initiative encountered execution hurdles. In the energy and defense sectors, Coal India signed a key MoU with Indian Port Rail & Ropeway Corporation to develop rail infrastructure, while GRSE expanded its global presence by signing MoUs in Sweden and Denmark for cruise vessel and marine propulsion collaboration. Similarly, Bharat Electronics Limited (BEL) secured orders worth ₹2,323 crore from MDL and GRSE, strengthening its defense manufacturing portfolio. JSW Energy exited Beempow Energy for ₹302.66 crore, completing a strategic realignment, and RailTel bagged a ₹274 crore ITMS project in Maharashtra's Vidarbha Circle, aimed at enhancing road safety across blackspots and accident-prone zones. Meanwhile, KEC International won ₹2,211 crore worth of new orders across international T&D, pipelines, and cable supply businesses, reinforcing its infrastructure footprint in the Middle East and Africa. In the equity markets, Gravita India surged 4% on expectations of a government-backed critical mineral recycling scheme. Tata Investment gained 8% on reports of Tata Capital's impending IPO, while shares of ICICI Lombard and Go Digit also moved higher as the government weighed a 25% hike in third-party motor insurance premiums. Lastly, global cues remained mixed. While Asian markets were relatively steady, U.S. indices such as Nasdaq and S&P 500 dipped amid fresh tariff tensions and a high-profile online spat between Elon Musk and Donald Trump—an episode that dented Tesla's valuation and contributed to market volatility. Overall, the week was dominated by aggressive monetary easing, strong defense-industry momentum, and corporate actions that may shape the economic narrative for the weeks ahead. Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
Business Insider
4 hours ago
- Business Insider
Here are the winners and losers in today's job market
The winners and losers of the workforce are coming into sharper focus. If you're looking for roles in healthcare or service work, you may have a very different experience than the white-collar workforce or new grads. Overall, the latest jobs data shows that the labor market isn't looking too shabby; the number of payrolls added in the Bureau of Labor Statistics' May report exceeded economists' expectations, and the unemployment rate held steady. But that doesn't mean all workers are navigating the labor market with ease. Instead, some are faring better than others. Cory Stahle, an economist at the Indeed Hiring Lab, said the new jobs report reflects that divide. "The headline number says the train keeps chugging along," Stahle said, "but at the same time, not everybody is experiencing that same thing." Here's who's winning in the job market right now A few industries stood out in the most recent jobs report. Employment in the private education and health services sector and the leisure and hospitality sector swelled. They alone accounted for over 100,000 new payrolls in May, and over the last three months have added around 374,000 jobs. In short, if you're trying to find a job in food service or home healthcare, the job market is in your favor. Other sectors that added roles in May include construction and retail trade, although not at the same clip. Daniel Zhao, lead economist at Glassdoor, said those service sectors have powered job growth, but "all of them have slowed in the first half of 2025 compared to the back half of 2024." There were also some winners in the white-collar world. Job-stayers — whether they still want to be there or not — are at least reaping some financial rewards. Average hourly earnings for workers in the information sector, which includes many aspects of tech, shot up from a year ago, as well as pay for those in professional and business services. For the white-collar workers who are waiting out the Big Stay, that's a win. Indeed, job stayers have a bit of a financial edge right now: Their raises are now slightly outpacing those of job switchers, per the Atlanta Federal Reserve, a big change from the days of the Great Resignation. Who's losing in the job market right now White-collar workers who are actively seeking a new role probably aren't feeling too hot; neither are new grads. Employment growth in the information sector has been nonexistent since February, while employment fell by 19,000 in professional and business services during that time. The job switching pay premium has evaporated, and companies are taking longer to fill available roles. One subsection of white-collar workers has reason to be especially nervous: Middle managers are getting flattened out of corporate structures in the name of efficiency. Then, of course, there's the bottom rung of the labor market: New graduates trying to land a full-time role. The share of recent college graduates with jobs that don't require a degree ticked up in March, according to the New York Federal Reserve's analysis. Similarly, that data shows recent college graduates ages 22 to 27 had higher unemployment rates compared to the larger 16- to 65-year-old workforce, a reversal from longer-term historical trends. "There's fewer people coming in, fewer people heading out," Guy Berger, the director of economic research at The Burning Glass Institute, said. "That mix tends to favor established workers who tend to be older and tends to hurt younger people trying to get their foot in the door." Stahle said college and high school graduates are entering a frozen labor market where the quits rate is low, people are staying put, and employers aren't really looking for new folks. "We're seeing unemployment rates rise most notably for those younger workers, college graduate-age workers — which is very different than what we've seen in the past, where those workers tend to do pretty well," Stahle said. Are you a job seeker, middle manager, or new grad with a story to share? Contact these reporters at jkaplan@ and .
Yahoo
6 hours ago
- Yahoo
Popular Grocery Chain Wegmans Opening New Location June 25
The grocery business is a competitive one, with more than 45,000 supermarkets in the United States, according to Food Industry Facts. That big number includes supercenters, warehouse grocery, conventional supermarkets, limited assortment grocery, conventional club, natural/gourmet stores and military commissaries. So, yes, there are a wide variety of supermarkets across the country. The supermarket business also employs a lot of Americans, counting 5.5 million as of 2024 according to the Bureau of Labor Statistics. The number of supermarkets and grocery stores in the U.S. is on the rise, too, and has grown 1.5% per year on average over the past five years from 2019 and 2024, according to IBS World. Now, a popular grocery chain is expanding and opening a new location soon. Wegmans is growing in 2025. The chain has more than 100 locations on the East Coast in New York, Pennsylvania, New Jersey, Virginia, Maryland, Massachusetts, North Carolina, Washington, D.C., and Delaware, according to the grocery spot's website. Now, Wegmans plans to expand "in the northeast and mid-Atlantic regions." So, Wegmans is not only expanding but also heading into a new region. Wegmans announced in December 2024 that it planned to open three new stores in 2025, including in Norwalk, CT; Lake Grove, NY; and Rockville, MD. "All three stores will feature the traditional departments Wegmans customers have come to know and love, including delicious restaurant foods (sushi, pizza, chef-made salads, and sandwiches), an abundant produce department with hundreds of different fruits and vegetables, and a wide variety of seafood, meat, bakery, deli, and cheese options," they said in a statement. Wegmans opened their Lake Grove location on Feb. 26. Next up, they'll officially open their Rockville location on June 25. Later this summer, on July 26, they'll open their Norwalk location. Wegmans added that customers were requesting these locations to be added to their store lineup, stating, "Each year, thousands of people who have visited our store for the first time, or moved to a place without Wegmans, write asking that we build a store in their town. Since we open just two or three new stores each year, it would be impossible to oblige every request."Popular Grocery Chain Wegmans Opening New Location June 25 first appeared on Men's Journal on Jun 7, 2025
