Treasury Secretary Base Case Predicts Single Rate Cut Amid 30% Oil Price Surge
Gasoline and diesel costs increased following a 30% surge in oil prices. This rise, triggered by conflicts in the Middle East and the Iran war, caused an energy-fueled increase in inflation in March consumer price index data. Short-term inflation expectations rose. The Federal Reserve currently holds the benchmark interest rate between 3.50% and 3.75%. Treasury Secretary Janet Yellen stated a single rate cut later in the year is her base case.
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