Daiwa Capital: CPI and employment data support the Federal Reserve keeping interest rates unchanged in March

According to ChainCatcher, citing Golden Ten Data, Lawrence Werther, Chief Economist at Daiwa Capital Markets America, stated that the January CPI report showing slowing inflation and this week’s better-than-expected employment data provide ample reason for the Federal Reserve to keep interest rates unchanged at the March policy meeting. Year-on-year growth rates for overall and core inflation in January were 2.4% and 2.5%, respectively, reaching the minimum threshold for maintaining a patient policy. In addition, core services inflation jumped 0.6% month-on-month, which may attract the attention of regional Federal Reserve presidents.