The latest inflation data also set off a new round of Mr. Biden’s allies calling for the Fed to commence cutting rates.
“Today’s release was welcome news that inflation is cooling, and data last week showed a stable and strong job market. Now it’s time to make sure the benefit of that is reaching American families,” Senator Martin Heinrich of New Mexico, a Democrat and the chair of the Joint Economic Committee, said in a release.
“The Fed has made it clear that it isn’t ready to lower interest rates,” he added. “But unnecessarily high rates are holding back small business growth, hurting workers, and worsening the housing crisis. It is time for the Fed to lower interest rates before it causes irreparable harm to the U.S. economy.”
