Fed’s Diverging Views on Inflation | Raleigh News

Bank of America’s CEO warns inflation’s still sticky, hinting at more Fed rate hikes before year’s end—blaming pipeline, energy, and everyday costs that could keep prices high through 2027 and 2028. But Morgan Stanley flips the script, citing falling June CPI and core inflation trends pointing to a 2% target by mid-year—and even predicting no hikes in 2026, plus cuts in 2027. They argue tariffs’ price-pushing effect is fading, while AI-driven demand for semiconductors and software is fueling new inflation, with Apple and Microsoft already raising prices. Markets brace for Fed’s next move as conflicting signals collide. 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/e5c8bbea8e9ab0b4