BofA: Continued month-on-month growth of 0.3% in core PCE will lead the Fed to reassess its outlook

CoinVoice has learned that the 'small twists' on the path of declining inflation in the U.S. are most evident in the core PCE, which has hovered around a year-on-year rate of 2.7% for the past six months.

Economists at Bank of America Securities wrote: "Two consecutive months of 0.3% growth (month-on-month) will definitely lead Fed participants to reassess their inflation and policy outlooks."

Nevertheless, we still expect the Federal Reserve to cut interest rates by 25 basis points in December, but given strong economic activity and persistently high inflation, the rate-cutting cycle seems to be shorter.”[Original link]