Wall Street Breakfast CPI clears way for Fed rate cut
Sep 11, 2025
Core CPI remains stubbornly high, but aligns with expectations. Jobless claims are at a four-year peak, raising concerns for the economy. A humanoid robot designed to cook is making waves, showcasing advancements in technology. The discussion also touches on Apple facing challenges related to AI, adding to the intrigue of corporate performance amidst evolving market dynamics. A simulated Federal Reserve meeting highlights the complexities the institution may face in future policy decisions.
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Inflation Remains Sticky In August
- August CPI rose 0.4% month-on-month and 2.9% year-on-year, slightly above some expectations.
- Core CPI excluding food and energy rose 0.3% monthly, showing persistent inflation pressures led by shelter and food.
Shelter, Food, And Tariffs Drive Prices
- Shelter and food were the largest contributors to the monthly CPI increase, with shelter rising 0.4% and food up 0.5%.
- Tariffs and core goods price jumps, including used vehicles and apparel, are materially weighing on consumer prices.
Jobless Claims Jump Adds Fed Dilemma
- Weekly initial jobless claims spiked to a four-year high at 263,000, raising concerns about the labor market.
- That rise combined with elevated inflation complicates the Fed's policy decision ahead of next week's meeting.
