BUSINESSBLOOMBERG
Inflation Is Cooling. But is 2% Out of Reach?
Although the latest CPI report gave markets reason to celebrate, inflation remains above the Fed’s 2% target according to Rick Rieder. He argues that raising overnight rates may not be the most effective method for reducing inflation. However, a larger market concern is the long end of the yield curve, driven by fiscal deficits, heavy treasury issuance, and AI-related financing.
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Related Signal
Adjacent reporting
- Inflation rate projected to hit 6% in the second quarter, top economic forecasters say
- Inflation is back above 4% for the first time since 2023—but Kevin Warsh might catch a break
- Is inflation heading to 6%? Probably not — but it will get worse before it gets better.
- The U.S. inflation problem is getting worse