New inflation reading could keep June rate cut on the table for Fed

The Federal Reserve's preferred gauge of inflation wasn't hotter than expected in February, which could keep a mid year interest rate cut on the table.

The new PCE reading could be an encouraging development to some Fed officials who raised questions in recent months about the persistence of inflation after some hotter-than-expected numbers at the start of 2024."Core services inflation is slowing and will likely continue throughout the year," Jeffrey Roach, chief economist for LPL Financial, said in a note.

The decision to stay the course for three rate cuts this year — the same number of cuts forecast in December — comes after sticky inflation data was thought to push officials to scale back the number of cuts for 2024.Core consumer prices based on CPI showed an annual increase of 3.8% in February after rising 3.9% in January.

Compared with 12 months earlier, non-core prices rose 2.5% in February, up slightly from a 2.4% year-over-year gain in January but in line with expectations.Shannon Stapleton/ReutersDonald Trump once again went scorched earth against the daughter of the judge overseeing his New York hush-money trial on Thursday, posting a fiery rant to Truth Social that called her out by name.

New York Times reporter and CNN political analyst Maggie Haberman joins CNN’s Kaitlan Collins to detail her takeaways from former President Donald Trump’s latest legal developments.Joe Biden Trolls Donald Trump By Using One Of His Favorite Things Against HimCNNA lifelong Republican voter who cast his ballot for Donald Trump in 2016 now views things quite differently, admitting to CNN on Wednesday night that Hillary Clinton was “absolutely right” about her opponent in that year’s election.

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