FED Says Inflation Cooled To 5% But Consumer Prices Stuck In High

  • An inflation gauge closely watched by the Federal Reserve showed signs of slowing in December, but it still remained abnormally high, according to new data released Friday.
  • Policymakers have already approved seven straight rate hikes, pushing the federal funds rate well into restrictive territory. The central bank has signaled that it will raise rates higher than previously anticipated, though it plans to pause the increases at some point in 2023.