US inflation

THE BOTTOM LINE

A war the public didn’t ask for

Rising fuel prices in the US cut across party lines in a way that military strategy does not

The latest spending figures are consistent with a consumer who has grown more cautious over the last six months amid cost-of-living concerns and a sluggish job market.

US consumer spending barely rose

Inflation-adjusted consumer spending increased 0.1% after stagnating in January

The war has caused oil prices to surge and renewed upward pressure on inflation, which has run above the Fed’s 2% target for five years.

US inflation expectations jump with Iran war, Fed survey finds

Food costs are seen rising by 6% over the next year

The Fed is in the difficult position of needing to balance the risk of higher inflation amid a fresh shock and downside risks to the labour market, says Powell.

US Fed leaves interest rates unchanged, expects inflation to rise

Oil prices have jumped from below US$80 a barrel to US$108 ahead of the central bank’s policy decision

Oil has been hovering around US$100 a barrel after surging 35% in a week following the Feb 28 US-Israeli strikes on Iran.
NEWS ANALYSIS

Stuck between inflationary and deflationary forces, Fed almost certain to keep rates unchanged

Officials warn any rate-cut plans will be shelved until the aftershocks of the Iran war become clear

Prices at petrol pumps have jumped by more than 18% to US$3.5 a gallon since the US-Israel war started, data from motorist advocacy group AAA showed.

US consumer prices go up as expected in February

With the Iran war driving up oil prices, a further rise in inflation is anticipated in March

The Fed is expected to hold rates steady at its upcoming Mar 17 to 18 meeting.

Fed faced with hard choice on weak jobs, high inflation

The central bank aims for 2% inflation, though it has not met that goal for the past five years

Based on YouGov statistics, a staggering 69% of Americans – including a majority of Republicans – believe Trump's tariffs are raising prices rather than protecting workers.
THE BOTTOM LINE

Trump’s economic promises meet political reality

The 2026 midterm elections loom as a potential disaster

Stefan Hofer of LGT says: "We strongly view that in the US, Europe and most advanced economies, there’s going to be a ramping up of infrastructure spending, and that is a great investment opportunity.”

US inflation, not geopolitics, remains biggest risk to markets in 2026, says this chief investment strategist

LGT Private Banking’s Stefan Hofer cautions that market volatility will be ‘much higher’ this year

Federal Reserve chair Jerome Powell seems to have internalised that letting politicians dictate monetary policy can have lasting consequences.

Why Fed chair Jerome Powell had to say no

History makes a strong case for central bank independence