Inflation

The economy will “probably not” rebound in the last half of 2017, according to Federal Reserve Bank of St. Louis President James Bullard, and don’t expect inflation to suddenly turn around either.

The consumer price index rose 0.4% in August, slightly ahead of expectations for a 0.3% gain.

Consumers’ inflation expectations held for one-year, but dipped for the three-year horizon, according to the August Survey of Consumer Expectations, released by the Federal Reserve Bank of New York on Monday.

New York Fed President William Dudley reiterated the need to continue raising interest rates while conceding the inflation model may be need a rethink.

ECRI inflation gauge rises to 111.9 in August.

Consumers’ inflation expectations held for one-year, but dipped for the three-year horizon, according to the July Survey of Consumer Expectations, released by the Federal Reserve Bank of New York on Monday.

Noting that predictions of higher inflation have been wrong for years, Federal Reserve Bank of Minneapolis President Neel Kashkari said Friday, the Fed can afford to wait to raise rates and that’s why he’s dissented on the last two rate hikes.

Inflation will not grow as much as previously forecast, according to the latest projections in the Federal Reserve Bank of Philadelphia's survey of professional forecasters.

Federal Reserve Bank of New York President William Dudley offered a positive outlook for the U.S. economy, job market and inflation on Thursday, saying better conditions would help support the most vulnerable Americans.

Monetary policy is near appropriate levels, Federal Reserve Bank of St. Louis President James Bullard repeated Monday.

Inflationary pressures eased in July.

The Federal Reserve’s balance sheet will be reduced substantially, but not to the $1 billion level from before the financial crisis, Federal Reserve Board Chair Janet Yellen said.

Calling the “normalization of the federal funds rate … well under way,” Federal Reserve Board Governor Lael Brainard said it is almost time for balance sheet run off.

Consumers’ inflation expectations fell in the short-term, but rose over a longer period, according to the June Survey of Consumer Expectations, released by the Federal Reserve Bank of New York on Monday.

U.S. inflationary pressures were up slightly in June, according to data released Friday morning by the Economic Cycle Research Institute.

One more rate hike should remain appropriate this year, Federal Reserve Bank of Philadelphia President Patrick Harker said Tuesday, although he said he thinks it will take a little longer than he expected for inflation to hit the Fed’s 2% target.

Business inflation softened in May as services - including profit margins - were firm, but goods prices counterbalanced with a big decline.

Inflation expectations fell and consumers expect to spend less, according to the Survey of Consumer Expectations, released by the Federal Reserve Bank of New York on Monday.

The consumer price index rose 0.2% in April as expected, the Bureau of Labor Statistics reported. It had declined 0.3% in March.

U.S. inflationary pressures were unchanged in April, according to data released Friday morning by the Economic Cycle Research Institute.