Overview:  The Fed held constant its target range of 0.0%-0.25% for the federal funds rate.  The topline PPI rose 1.6% in February as the core PPI increased 0.2%.  The topline CPI was up 0.5% in February as the core CPI rose 0.2%.  Industrial production declined 0.1% in February.  Housing starts fell 22.5% and building permits declined 8.2% in February.  The current account deficit narrowed 9.7% in the 4^th quarter of 2010.  Initial jobless claims fell 16,000 to a level of 385,000 for the week ended 3/12.

• The Fed held steady its target range for the federal funds rate at 0.0%-0.25%.  The target rate has been unchanged at this record low level for a record two years and three months.  The Fed said that the recovery is on “firmer footing” and noted the recent run-up in commodity prices, but maintained its outlook for stable long-run inflation. 
• The topline producer price index jumped 1.6% in February while the core PPI increased 0.2%.  On a year-over-year basis, the topline PPI is up 5.8% and the core PPI is up 1.9%.
• The topline consumer price index rose 0.5% in February while the core CPI increased 0.2%.  On a year-over-year basis, the topline CPI is up 2.2% and the core CPI is up 1.1%.
• Industrial production surprised on the downside with a 0.1% decline in February.   
• Housing starts plummeted 22.5% to an annual pace of 479,000 units in February, more than reversing the 18.4% gain in January.  Starts were up 5.6% in 2010, but the current level of 479k is down 20.8% from a year ago.
• Building permits unexpectedly declined 8.2% to an annual pace of 517,000 units in February.
• The current account deficit narrowed by $12.2 billion (9.7%) to $113.3 billion in the 4^th quarter of 2010.
• Initial jobless claims fell 16,000 to 385,000 for the week ended March 12^th.