Pressure on the Fed to trim interest rates is growing. In other words, the perception that the inflation problem is solved is raising the specter of more inflation.

President Donald Trump cited new inflation data in continuing to pressure Federal Reserve Chair Jerome Powell to lower interest rates, calling him a "numbskull" but adding that he won't seek to remove him.

Consumers expect lower inflation over the next year than they did a month ago, the New York Federal Reserve found in its latest survey. Over the next 12 months, consumers expect prices to rise 3.2%, down by 0.

The Federal Reserve has put interest rate cuts on hold until it has more clarity about President Trump’s policies.

BENGALURU (Reuters) -The U.S. Federal Reserve will keep interest rates on hold for at least another couple of months, according to most economists polled by Reuters, as risks linger that inflation may resurge due to President Donald Trump's tariff policies.

U.S. Treasury yields dropped for a second day Thursday as investors weighed muted inflation gains and the White House's trade negotiations. The 10-year Treasury yield dropped more than 5 basis points to 4.