Posted on 02/13/2026 7:43:35 AM PST by SeekAndFind
Key Insight: Inflation showed signs of cooling in January, with the annual inflation rate dropping to 2.4%.
Supporting data: Prices excluding food and fuel rose 0.3% in January, while food increased 0.2% and energy prices ticked down by 1.5%, the report found.
Forward look: The January inflation reading remains slightly above the Fed's longstanding 2% target and is likely to reinforce a cautious stance toward further rate cuts, though President Trump will likely continue to push the central bank to lower rates.
In recent months, as consumers face an affordability crisis, the Trump administration has rolled back tariffs on dozens of food items. The administration has also continued to reach trade deal frameworks with countries that it says will lead directly to lower tariffs.
The Bureau of Labor Statistics said that the price of housing “was the largest factor” in the increase for the month, rising 0.2%. The same went for the “food at home” category, which tracks grocery prices.
The price of energy was among the biggest drops in January, falling 1.5%.
Core inflation, which strips out volatile categories, was also right in line with expectations. That could help bolster the argument that recent rate cuts and actions by the administration are working to bring inflation under control after it soared to 3% in September last year.
(Excerpt) Read more at americanbanker.com ...
I agree, just check your utility bills.
Long term, you are probably on the right track. But the AI efficiencies are really a few years ago. They might be starting now…but BIG gains have to wait for the systems build out. And that takes time.
The FED should not be doing anything regarding interest rates. Its not their job. Their job is to regulate the supply of money, that’s it.
Is it possible that A.I. will dramatically increase productivity by supplementing actual human workers rather than the fear of causing mass layoffs?
On a side note, if the Fed wont cut rates because of inflation too hot OR if inflation is low, then when do they see fit to lower rates? Both situations can’t be correct, can they?
INB4 the MSM starts saying that inflation is good, and that Trump is ruining it.
they published an extra dot, decimal point
actual experienced cost of living. inflation rate is much closer to 24 percent, not 2.4
imho we need real economic, market measures and not the known-falsified phony indecies published by the government in order to hold down social security and civil service and welfare COLAs
Cub half full, half empty is the problem.
Good news means we have to respond with bad news.
Bad news means we have to double down on attempts to change it.
The media headline gets to choose whether to highlight the good part or the bad part.
“ The “affordability crisis” is a rat talking point.”
It’s real but they caused it.
These FED dolts don’t want growth higher than 1.9% Then they panic.
New FED chair must change this!
“we need real economic, market measures...”
The only thing that will help is less govt spending and that isn’t going to happen.
The rate is right where it should be.
True
2.8% inflation is still high. The reason it’s not higher is, people aren’t buying near as much as they used to, reducing demand. They aren’t buying because they’re broke, or getting closer to it. We just lost two Wendy’s last week, both been there over twenty years. A lot of low end workers can’t even afford lunch anymore.
2.4%, my bad on the typo. Still not good.
And like it or not, it will continue to have traction with the window lickers. The inflation rate may decrease, but prices don't typically come down off their highs, even if energy costs decrease.
And wages and salaries rarely keep up with inflation.
"I can't afford much Cheetos." is an easy sell for the demoncraps.
I think a lot of people are smarter than you and the Eagle give them credit for.
What’s unknown is how many.
Well it the long term it is a structural problem not unique to any administration. The decline began in around 1975. You will see auto prices as one example have eclipsed any wage increases.
I can safely confirm that is true. I can also confirm that a lot of Conservative are less prone to living in denial than you.
The FED should not be doing anything with rates, it is not their job.
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