In February, inflation pressures in the U.S. intensified, with the Personal Consumption Expenditures price index showing a 2.8 percent annual increase, surpassing expectations. This core price surge suggests the early effects of President Trump's trade war. Despite a monthly rise in consumer spending by 0.4 percent, the growth was not sufficient, especially once adjusted for inflation. Additionally, the personal saving rate increased to 4.6 percent, indicating a pullback in consumer expenditure and hints at stagflationary pressures. Analysts warn that the economy may experience slower growth as inflation starts to rise amid ongoing trade disruptions.
Americans hoping for relief from inflation faced a setback in February, with new data indicating intensifying underlying price pressures and slowing consumer spending.
The PCE price index rose 2.8% annually in February, exceeding expectations and driven largely by raises in everyday item prices amidst ongoing trade tensions.
Collection
[
|
...
]