Ahead of the highly anticipated February Consumer Price Index (CPI) report set to release on Tuesday, Citi Economist Veronica Clark joins Yahoo Finance Live to share her outlook.
Clark notes that she will closely monitor the CPI report’s month-over-month change. While she anticipates a decrease in the yearly rate, she expects to see “some residual strength” in the monthly data point. However, following a strong January, she warns that there may be some stickiness in the February report regarding services inflation, which she notes “is not a great place for the Fed.” Still, Clark forecasts that the first rate cut will occur in June, “and every meeting after June.”
Despite recent jobs data pointing to a “reaccelerating economy,” Clark highlights signs that the labor market is beginning to weaken, with hiring slowdowns and an uptick in unemployment.
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor’s note: This article was written by Angel Smith
