The American inflation data for February, published today, showed that the Consumer Price Index (CPI) rose by 2.8% year-on-year, below the expectations of 2.9%, and lower than 3.0% in January.
These figures come at a sensitive time, as investors closely monitor any signs that may indicate the U.S. economy is entering a state of "stagflation," an undesirable combination of slowing economic growth with rising inflation.
Overall, the data indicates a slight slowdown in price increases, which may ease the pressure on the Federal Reserve in making decisions about raising interest rates. However, concerns remain about the possibility of stagflation if economic challenges persist.
