According to the Consumer Price Index (CPI) of the US Bureau or Labor Statistics, It appears that inflation increases by 2.3% year after year and 0.2% more than March. The annual increase is the lowest since February 2021.
Although the figures reflect the expectations for economists’ index, Trump is up again, again rates can still push inflation in the coming months. The lack of clarity about trade policy is likely to have a wait -and -see approach to the Federal Reserve with regard to interest rates.
“Despite a modest improvement in inflation, economic uncertainty remains high,” says senior economist Jake Krimmel of Realtor.com in a statement. “Uncertainty about how commercial policy will influence future inflation, consumer sentiment and job growth, have strengthened the outlook for cutting the FED rate – and in turn the mortgage interest rate. Up to the loan costs, the housing activity is likely to be modified, even as underlying demand and supply.”
The CPI shows that the costs of the daycare continue to speed up. In the last 12 months, the houses rose by 4%, with an increase in the month of 0.3%. Rent rose by 0.3% compared to last month, while the owner’s rental sequival tent rose by 0.4%.
Anticipation for the May CPI report will be high. Trump entered his second term as president who threatened ‘reciprocal’ rates, but what he revealed on 2 April was anything but. Even the nearest allies of the United States were hit with astronomical rates.
Trump has since considerably called the rates back. Hours after the taxes came into effect on April 9, he paused them for 90 days, although a basic line rate of 10% remains on all except a handful of countries.
Trump’s Tit-for-Tat with China was also discalated on Monday. The American rate on China reached 145%, but it has been reduced to 30%for 90 days.
