Inflation's Steady Climb: What It Means for Your Wallet

Inflation is still on the rise, but not by much. The latest numbers show prices went up by 2. 6% over the past year. That's not great, but it's not terrible either. It's the same as last month, so at least it's not getting worse fast. The core PCE, which looks at prices without food and fuel, went up a bit more than last month. It's now at 2. 9%. That's higher than the Federal Reserve's target of 2%. The Fed is keeping a close eye on this because it helps them decide if they should cut interest rates. The Fed has been talking about cutting rates to help the job market. But with inflation still a bit high, they might not cut rates as much as some people hope. The jobs report next week will be really important. It could help the Fed decide what to do. Traders think there's an 87% chance the Fed will cut rates at their next meeting. That's a big deal because lower rates can make borrowing money cheaper. But if inflation keeps going up, the Fed might not cut rates as much as people want. So, what does this all mean for you? Well, if the Fed cuts rates, it could be good for things like mortgages and loans. But if inflation keeps rising, prices might keep going up too. It's a balancing act, and the Fed has to make some tough decisions.