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U.S. August 2026 Figures Inflation Keeps Pressure on the Federal Reserve

America’s inflation problem is proving stubborn, with the latest figures increasing pressure on the Federal Reserve to raise interest rates again. U.S. consumer prices rose 3.4% in August 2026 from a year earlier, unchanged from July, according to the latest U.S. Consumer Price Index figures. Increase Prices increased 0.4% during August 2026, a sharp acceleration …

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OpenAI Moves Swiftly to Fill Federal AI Vacuum

Following the abrupt federal ban on Anthropic’s Claude models, OpenAI has moved quickly to position itself as the primary replacement across U.S. government departments. With Claude now designated a supply‑chain risk, agencies are likely scrambling to reconfigure AI workflows — and OpenAI’s systems appear to be emerging as the default alternative. Integration The company’s flagship …

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Trump Orders Federal Ban on Anthropic as Pentagon Clash Over AI Safety Concern and Use

A sweeping federal ban on Anthropic’s technology has rapidly become one of the most consequential developments in U.S. government technology policy, following President Donald Trump’s order that all federal agencies — including the Pentagon — must immediately cease using the company’s AI systems. The directive, issued on 27th February 2026, came just ahead of a …

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The U.S. Federal Reserve has cut interest rates by 0.25%, lowering the federal funds rate to a range of 3.75%–4.00%

This marks the second consecutive cut in 2025 amid economic uncertainty and a government data blackout. In a move aimed at supporting growth, the Federal Reserve reduced its benchmark interest rate by 0.25% following its October policy meeting. The decision, reportedly backed by a 10–2 vote from the Federal Open Market Committee, reflects growing concern …

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U.S. Inflation Slows Slightly in September, Easing Pressure on Fed

The latest U.S. inflation figures show a modest increase in consumer prices. The annual rate rose to 3.0% in September 2025, up from 2.9% in August. 2025. According to the U.S. Bureau of Labor Statistics, the Consumer Price Index (CPI) increased by 0.3% month-on-month, slightly below economists’ expectations. Core inflation—which excludes volatile food and energy …

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Fed flags elevated stock valuations amid market euphoria

In a candid assessment that sent ripples through global markets, Federal Reserve Chair Jerome Powell has acknowledged that U.S. stock prices appear ‘fairly highly valued’ by several measures. Speaking at a recent event in Providence, Rhode Island, Powell reportedly responded to questions about the Fed’s tolerance for elevated asset prices, noting that financial conditions—including equity …

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Fed cuts rates amid labour market strains and political Powell pressure

On 17th September 2025, the U.S. Federal Reserve announced its first interest rate cut of 2025, lowering the benchmark federal funds rate by 0.25% to a range of 4.00%–4.25%. The decision follows nine months of monetary policy stagnation and comes amid mounting evidence of a weakening labour market and persistent inflationary pressures. Fed Chair Jerome …

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The Nixon shock: When politics undermined the Fed—and markets paid the price

In the early 1970s, President Richard Nixon’s pursuit of re-election collided with the Federal Reserve’s independence, triggering a cascade of economic consequences that reshaped global finance. The episode remains a cautionary tale about the dangers of politicising monetary policy. At the heart of the drama was Nixon’s pressure on Fed Chair at the time, Arthur …

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Is Wall Street more fixated on Nvidia’s success than the potential failure of the Fed – the Fed needs to maintain independence?

As Nvidia prepares to unveil another round of blockbuster earnings, Wall Street’s gaze remains firmly fixed on the AI darling’s ascent. The company has become a proxy for the entire tech sector’s hopes, its valuation ballooning on the back of generative AI hype and data centre demand. Traders, analysts, and even pension funds are treating …

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U.S. Federal Reserve holds interest rates at 4.25% – 4.50% and upsets Trump in the process

The Federal Reserve held its key interest rate steady at 4.25% – 4.50% on 7th May 2025, citing economic uncertainty and the potential impact of tariffs. Fed Chair Jerome Powell emphasised that the central bank is in wait-and-see mode, monitoring inflation and employment risks. The decision follows concerns that Trump’s trade policies could lead to …

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U.S. stocks slide again as Trump publicly criticises Fed Chair Powell

President Donald Trump’s recent criticism of Federal Reserve Chair Jerome Powell has sent shockwaves through the financial markets, reigniting concerns about the central bank’s independence. On Monday 21st April 2025, Trump took to social media to publicly call Powell a ‘major loser’ and demanded immediate interest rate cuts, warning of an economic slowdown if his …

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Federal Reserve’s preferred recession indicator is flashing red again!

The Federal Reserve’s favourite recession indicator, the inverted yield curve, is flashing a danger sign once again. This occurs when the U.S. yield on the 10-year Treasury note falls below that of the 3-month note. Historically, this has been a reliable predictor of economic downturns, with a strong track record over a 12-18-month timeframe. The …

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Fed holds rates steady – calculates a less confident view on inflation

The Federal Reserve maintained its key interest rate on Wednesday 29th January 2025, reversing a recent trend of policy easing as it assesses the likely turbulent political and economic landscape ahead. As expected, the Federal Open Market Committee (FOMC) left its borrowing rate unchanged in a range between 4.25% and 4.50%. The decision followed three …

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Fed cuts interest rate by 0.25% – indicates fewer cuts in 2025

The Federal Open Market Committee (FOMC) cut its borrowing rate to a range of 4.25% – 4.50%, mirroring its December 2022 level. The Fed indicated that it probably would only lower twice more in 2025, according to the closely watched ‘dot plot’ matrix of individual members’ future rate expectations While the decision itself was closely …

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U.S. Fed’s preferred inflation measure rises to 2.3% 

The Personal Consumption Expenditures (PCE) price index announced 27th November 2025, rose by 0.2% monthly, matching a 12-month inflation rate of 2.3%, aligning with expectations. Core U.S. inflation recorded more robust figures, climbing 0.3% monthly and reaching an annual rate of 2.8%, but also in accordance with forecasts. Consumer spending increased by 0.4% monthly, as …

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S&P 500 and Nasdaq close at new records again as Fed cuts rates

More new records set in extended U.S. post-election rally The S&P 500 and Nasdaq climbed on Thursday 7th November 2024, extending the rally following the victory of President-elect Donald Trump, while traders considered the implications of the Federal Reserve’s recent rate reduction. The S&P 500 rose to close at an all-time high of 5,973.10, while …

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Fed lowers U.S. interest rate by 0.25% November 2024

The Federal Open Market Committee (FOMC) has reduced its benchmark overnight borrowing rate by 0.25%, bringing it to a target range of 4.50%-4.75%. This move follows September’s significant 0.5% cut. The overnight borrowing rate, while primarily affecting interbank lending rates, also typically impacts consumer debt products including mortgages, credit cards, auto and other loans.

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Is it job done for the Federal Reserve now?

Recent inflation data suggests that the Federal Reserve is fast approaching its goal, if not already there – following the central bank’s significant interest rate reduction of 0.50% a few weeks ago Both consumer and producer price indexes for September 2024 aligned with forecasts, indicating a decline in inflation towards the central bank’s 2% target. …

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The Fed says smaller rate cuts not bigger to come

Federal Reserve Chair Jerome Powell recently stated that the latest half-percent reduction in interest rates should not be interpreted as a sign that future measures will be equally as aggressive. The Fed suggests that subsequent adjustments will likely be more ‘modest’. In his address, the central bank’s chief highlighted their goal to balance curbing inflation …

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U.S. Fed preferred inflation measure came in at 2.2% in August 2024

In August 2024, U.S. inflation edged closer to the Federal Reserve’s target, potentially paving the way for future reductions in interest rates, according to a report from the U.S. Commerce Department released Friday 27th September 2024 The personal consumption expenditures price index (PCE), which is the Fed’s preferred gauge for assessing the cost of goods …

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U.S. cuts interest rate aggressively by 0.50% bringing the Fed rate range to 4.75% – 5.0%

The Federal Open Market Committee (FOMC) has voted to reduce the interest rate by 0.50% after having maintained its benchmark rate within the range of 5.25% to 5.50% since July 2023 The previous rate was the highest seen for 23 years and remained unchanged even though the Fed’s favoured inflation gauge has decreased from 3.3% …

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Is the ‘eagerly anticipated’ Fed interest rate cut (due in September 2024) – too little too late?

Is the U.S. economy already weaker than the headline data suggests and should the U.S. Federal Reserve already be easing? In the U.S. recent data (Friday 30th August 2024) showed the personal consumption expenditures (PCE) price index, the Federal Reserve’s favored measure of inflation, ticked up 0.2% last month, as expected. The data seems to …

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All roads lead to Fed rate cut as minutes point to ‘likely’ September 2024 reduction

No surprise here then as the Fed have been signalling a cut for some time now The Fed summary stated: “The vast majority” of participants at the July 30-31 meeting “observed that, if the data continued to come in about as expected, it would likely be appropriate to ease policy at the next meeting.” Markets …

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Markets got to hear exactly what they wanted to hear from Fed chair Jerome Powell

FOMC hold rates steady at 5.25% – 5.50% Federal Reserve Chair Jerome Powell ended a press conference in which he gave markets exactly what they wanted; a strong indication of a September 2024 rate cut. Powell says September 2024 rate cut ‘on the table’ if inflation continues to cool. Federal Reserve officials held short-term interest …

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U.S. rate cut looking more likely as Fed key inflation measure rose 2.5% in June 2024 over the year

The personal consumption expenditures price index (PCE) increased 0.1% in June 2024 and was up 2.5% from a year ago, with the annual rate showing a slight decline from the prior month Core inflation, which excludes food and energy, showed a monthly increase of 0.2% and 2.6% on the year, both also in line with …

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