Market Extra
‘This is the first time in the cycle in which such a benign inflation print has been completely discounted in favor of other risks’: strategist
Published: March 12, 2025 at 1:04 p.m. ET
Remember when inflation was the biggest worry on Wall Street? A fleeting reaction in the bond market to a cooler-than-expected February consumer-price index reading on Wednesday is a signal that investors are consumed by worries that escalating trade tensions could spark a resurgence in prices as well as a significant economic slowdown.
The February consumer-price index was certainly a pleasant surprise — rising 0.2%, the slowest pace in four months, and less than the 0.3% penciled in by economists. It also broke a string of elevated readings since November.
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