Fed Hikes Less Likely as Inflation Cooldowns | Business and Finance News

Inflation cooled slightly in July, with CPI rising just 0.1% month-over-month and core CPI up 0.2%, both aligning with expectations. Year-over-year, inflation remains at 3.4% and 2.5% respectively — modest gains that signal a slowing trend. Energy and food prices edged up slightly, while shelter costs barely moved, reinforcing the idea that inflation is easing. Markets are now betting heavily on the Fed holding rates steady in September, with odds jumping to 62% — up from 52% just days prior — while rate hike chances fell to 38%. The July jobs report also showed weaker-than-expected hiring, adding to pressure for the Fed to pause. With key reports still coming, including August data and the PCE index, the Fed’s path remains uncertain but leaning toward patience. Listen in comfort:Get a discount on a Soli Pillow: http://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/2de07aec559b1d57