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Fed’s Inflation Outlook Through 2026 Sparks Market Scrutiny
Fed’s Inflation Outlook Through 2026 Sparks Market Scrutiny
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BTCCSquare news:
Federal Reserve economists are analyzing the latest wholesale price data to forecast inflation trends through 2026, with November's 3% annual increase marking a persistent upward trajectory. Energy costs drove much of the rise, though Core wholesale prices—excluding volatile categories—held steady at 3.5%, matching March's peak.
December's consumer price data reinforced concerns, with CORE CPI stagnating at 2.6% since September—still above the Fed's target. Capital Economics' Stephen Brown suggests these figures could push the PCE index to 3%, complicating rate-cut expectations. The Fed's 2026 projections now loom as a critical variable for risk assets.
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