This morning the Federal Reserve is widely expected to keep
interest rates unchanged when it meets later today.
It's already raised rates 11 times in the past year
to bring down inflation.
Consumers are spending, but not as strong as they were.
The economy seems to be avoiding A recession.
All of that gives the Fed a little breathing room.
New data shows inflation slowed to a rate of 3.1%
last month, down slightly from 3.2%
in October. Gas prices are helping.
Prices at the pump are down $0.23 in the last
month.
But not all the news is good.
When you take out the cost of gas and food,
so-called core inflation is up.
4% over last year at this time.
Mixed picture on inflation. I think it's sticky or hanging
on in certain areas of the economy.
We're getting a little relief in others.
Housing prices are one troubling spot.
Americans are paying 6.9% more in rent this year,
and car insurance bills are surging up more than 19%
due to higher car prices,
repair and medical costs. The overall picture I think is
a good one,
but we know that many American families still are finding
many things to be unaffordable,
and that's very much why,
President. Biden is focused on lowering costs for American families.
Higher costs have already taken a toll on the food
industry,
Business Insider reports. Some manufacturers are tweaking their recipes to
save money from crackers to chocolate bars.
Textures and tastes are slightly changing due to cost cutting
moves.
Still, the overall inflation number is positive.
Experts say if it keeps heading in the right direction,
the Fed could start cutting interest rates by spring.