First modification:
The Federal Reserve’s tight monetary policy is beginning to bear fruit. In the third month of the year, the interannual variation of the Consumer Price Index (CPI) fell to 5%, from the annual 6% registered in February and with two tenths of a difference compared to the forecast of 5.2%. This month’s data is established as the lowest year-on-year increase in prices since May 2021.
US consumer prices slowed more than expected last March, when they reached 5% year-on-year according to official data revealed this Wednesday, April 4.
The cooling of the US economy officially began in July 2022, when the inflation rate reached 8.5% per year, after 9.1% year-on-year in June, the highest increase since November 1981 and which put the eye on the Hurricane the management of President Joe Biden.
The March data was driven by lower fuel prices, but gasoline prices are expected to rebound in the coming months after OPEC+ announced a further cut in oil production in early April.
The figure was already expected by the Asian markets and since the night of Wednesday, April 12, the Asian stock markets closed positive before the US inflation rate.
In Europe the panorama was similar during the day and the opening of Wall Street was also registered in green numbers.
Investors are now waiting for the US central bank, the Federal Reserve, to ease interest rate hikes and take pressure off the markets and Americans’ pocketbooks.
with Reuters
