According to the Consumer Price Index (CPI), inflation rose slightly more than expected in the month of January. The CPI rose by 0.3% month-over-month — against an expected 0.2% — and 3.1% year-over-year — against an expected 2.9%. Right now, the Federal Reserve appears adamant about sticking to its goal of cooling the inflation rate to 2%, expected to hold interest rates higher for longer until mid-2024. Wolfe Research Chief Economist Stephanie Roth and Sahm Consulting Founder Claudia Sahm sit down with Yahoo Finance to discuss January's CPI print and what it means for the Fed's inflation goals. "The Fed will respond to reality, right, so they will take on board if the disinflation comes faster than they think," Sahm, a former Federal Reserve Board economist, says. "They also said, we're not going to wait until 2% to do our first cut. So they're going to have to get going at some point this year, but it is really all about the inflation data. At least that's what the Fed has put emphasis on." For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Editor's note: This article was written by Luke Carberry Mogan.
According to the Consumer Price Index (CPI), inflation rose slightly more than expected in the month of January. The CPI rose by 0.3% month-over-month — against an expected 0.2% — and 3.1% year-over-year — against an expected 2.9%. Right now, the Federal Reserve appears adamant about sticking to its goal of cooling the inflation rate to 2%, expected to hold interest rates higher for longer until mid-2024.
Wolfe Research Chief Economist Stephanie Roth and Sahm Consulting Founder Claudia Sahm sit down with Yahoo Finance to discuss January's CPI print and what it means for the Fed's inflation goals.
"The Fed will respond to reality, right, so they will take on board if the disinflation comes faster than they think," Sahm, a former Federal Reserve Board economist, says. "They also said, we're not going to wait until 2% to do our first cut. So they're going to have to get going at some point this year, but it is really all about the inflation data. At least that's what the Fed has put emphasis on."
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor's note: This article was written by Luke Carberry Mogan.
Associated Press Finance
The Biden administration is rolling out new recordkeeping rules for U.S. investment advisers in its continued effort to clamp down on money laundering, illicit finance and fraud in the American financial system. The Treasury Department's Financial Crimes Enforcement Network — known as FinCEN — proposed a regulation on Tuesday that would require investment advisers to develop anti-money laundering programs and file reports with the government when suspicious activity is detected by clients, among other things. An occupation rife with regulatory gaps that can be exploited to launder money and hide illicit wealth, new regulations for investment advisers would "level the regulatory playing field, protect U.S. economic and national security, and safeguard American businesses,” said FinCEN Director Andrea Gacki in a statement.
Barrons.com
Traders now put 64.5% odds that the Federal Reserve will keep interest rates steady at its May meeting, up from 39.3% on Monday. The odds of the central bank cutting rates at the March meeting fell to 5.5% from 16% on Monday, according to the CME FedWatch Tool.
Reuters
The French government on Tuesday cut by 20% a subsidy higher-income car buyers can get for purchasing electric and hybrid vehicles in order to keep from overrunning its budget to boost the number of electric cars on the road. A government regulation lowered the subsidy from 5,000 euros ($5,386) to 4,000 for the 50% highest-income car buyers, but left the subsidy for people on lower incomes at 7,000 euros. "We are modifying the programme to help more people but with less money," Environmental Transition Minister Christophe Bechu said on franceinfo radio.
TipRanks
For investors seeking out the best portfolio choices in a new year, few sectors offer the well-rounded benefits of medical technology. MedTech stocks represent the cutting edge of the healthcare sector, combining the sexy know-how of high-tech with the defensive attribute of living in an absolutely essential industry. This gives the sector a solid foundation, leading one analyst to say that the ‘fundamentals appear positive.’ That analyst, KeyBanc sector expert Brett Fishbin, focuses on healthca
Bloomberg
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Bloomberg
(Bloomberg) -- Bond yields climbed and stock futures fell as traders dialed back bets on Federal Reserve rate cuts after a stronger-than-estimated inflation report.Most Read from BloombergMusk Says Putin Can’t Lose in Ukraine, Opposes Senate BillTrump Asks Supreme Court to Keep DC Election Trial on HoldRetail Traders Are Losing Billions in India’s Booming Options MarketPutin Seeks Revenge on a World Order He Once Wanted to JoinTreasury two-year yields, which are more sensitive to imminent Fed mo
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