The most recent CPI numbers showed a slightly lower increase in inflation than anticipated.
The Federal Reserve reduced the federal interest rate by .25 percent on Wednesday. Chairman Jerome Powell indicated that the central bank’s next rate decision, in December, would be subject to the rate of inflation and the job market, and that a reduction “is not a foregone conclusion.”
Chairman Powell said, “Policy is not on a preset course.” He described the current cut as a “risk management” move to address slowing employment numbers.
“What do you do if you’re driving in the fog?” Chairman Powell asked at a press conference following the Fed’s announcement. “You slow down.”
The Labor Department’s Bureau of Labor Statistics (BLS) most recent inflation data showed a small rise of 0.3 percent in the consumer price index for September, which was slightly below economists’ expectations. The government shutdown will prevent BLS from releasing the more current economic data.
As the Lord Leads, Pray with Us…
- For wisdom for Chairman Powell and members of the Federal Reserve Board.
- For President Trump and officials in his administration as they seek to strengthen the nation’s economy and employment opportunities.
Sources: CBS News, NBC News, The Epoch Times, Townhall, CNBC
