Inflation in March hit a five-month low, with the headline CPI rising 2.4% annually, lower than the expected 2.6% and down from February's 2.8%. Month-to-month, prices actually decreased by 0.1%. Core CPI, which excludes food and energy, rose 2.8% year-over-year, also lower than February's 3.1%. Despite this positive news, tariffs continue to pose a challenge. Although the White House has paused aggressive tariffs for three months, a general 10% levy on many imports remains effective, particularly impacting prices. Imports from China, facing a significant 145% fee, highlight the ongoing trade pressures. Sector-specific tariffs, such as those on automotive products, also persist, adding uncertainty for the upcoming 90 days. Market reactions have shown both optimism regarding inflation and concern over tariffs affecting overall economic stability.

Source đź”—