In the Asian session on Tuesday (April 11), the U.S. dollar index fell back from a high, with the latest price of the U.S. dollar at 102.41, a drop of 0.13%. Minneapolis Fed President Kashkari said recently that the current rate of wage growth in the United States is not in line with the Fed’s 2% inflation target.
The latest U.S. inflation data is unlikely to change the Fed’s mind. The Fed’s preferred measure of inflation, the core PCE price index, increased by 4.6% year-on-year in February, 0.1 percentage points lower than in January; the growth rate of core PCE slowed down from 0.6% in January to 0.3%. Boston Fed President Collins warned that the current price pressures in the United States have not yet reached a level sufficient to change the Fed’s monetary policy path. It is not difficult to find in the recent speeches of many senior Fed officials that fighting inflation is still the Fed’s top priority.
