US Inflation Falls, but Challenges Persist in Reaching Fed's 2% Target Amid Economic Pressures

InflationMoney Matters
Written By Jennifer Joslyn

Inflation in the US has dropped from 9% to 3% over the past year, but reducing it to the Federal Reserve's 2% target rate proves to be a tougher task. "Core" inflation, excluding volatile food and energy prices, remains higher than overall inflation and is expected to decrease gradually. The Fed's challenge lies in achieving a "soft landing" while economic pressures and the potential for increased rates remain, posing a potential threat to the job market and economic stability.

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Jennifer Joslyn
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