The Federal Reserve will likely continue on its recently commenced less-restrictive monetary policy course. Investors should note that the central bank was scheduled to hold its next Federal Open Market Committee (FOMC) meeting on November 6th and 7th. As the month of November began, the consensus sentiment was that the Fed would cut the federal funds rate by a more-modest 25 basis points following a half-point reduction in September, to a range of 4.75% to...

The Federal Reserve has been effectively navigating its dual mandate. The inflation situation continues to improve, with consumer and, more so, producer prices easing further in September. This continued the steady downward move in the pace of price growth over the summer months. Importantly, the central bank has been able to accomplish this without putting too much pressure on the labor market. The consensus is that the Fed will cut the federal funds rate by...

The latest round of inflation data was mixed. The September Consumer Price Index (CPI) came in above forecast, with the headline figure rising 2.4% over the 12-month period. That tally was down from the previous month’s reading of 2.5%, but above the consensus estimate of 2.3%. However, the companion report on producer prices was benign, with prices at the wholesale level increasing just 1.8% year over year. In all, the data did not change the...