Cooling inflation will determine voter favorability
Rugaber 7-26-24 [7/26/24, Christopher Rugaber covers the economy for the Associated Press, “Fed’s preferred inflation gauge cools, adding to likelihood of a September rate cut”, Associated Press, https://apnews.com/article/inflation-prices-election-federal-reserve-rates-economy-d8d44ca753aace952831a8f0cb42b97c
Taken as a whole, Friday’s figures suggest that the worst streak of inflation in four decades, which peaked two years ago, is nearing an end. Fed Chair Jerome Powell has said that this summer’s cooling price data has strengthened his confidence that inflation is returning sustainably to the central bank’s target level of 2%.
Lower interest rates and weaker inflation, along with a still-solid job market, could also brighten Americans’ assessment of the economy and influence this year’s presidential race between Vice President Kamala Harris and former President Donald Trump.