Federal Reserve Faces Inflation Dilemma as October Numbers Rise

The Federal Reserve contemplates interest rates amid rising inflation; core PCE inflation hits 2.8% while consumer spending remains solid.

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Fed’s preferred inflation gauge rises to 2.3% annually, meeting expectations

CNBC

Fed's preferred inflation gauge rises to 2.3% annually, meeting expectations

NBC News

Fed’s preferred inflation gauge ticked higher to 2.8% — stoking doubts on December rate cut

New York Post

Inflation Persists as Core Price Index Rises to 2.8 Percent

Breitbart News

Federal Reserve’s Preferred Inflation Metric Ticks Up as Services Fuel Price Pressures

Epoch Times

Overview

A summary of the key points of this story verified across multiple sources.

In October, inflation rose slightly, prompting the Federal Reserve to reevaluate interest rate cuts. The core PCE index rose to 2.8% annually, while consumer spending and incomes climbed, indicating robust economic activity despite inflation pressures. The Fed's target is 2%, and policymakers face a challenge in balancing growth with inflation control. Current market sentiment anticipates a possible quarter-point rate cut in December, reflecting ongoing debates on managing stubborn inflation and economic stability heading into 2024.

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