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How Will a 2.9% CPI Print Affect Fed Rate-Cut Timing? Introduction The 2.9% CPI print has become the latest hot topic in US financial markets. With inflation still running above the Federal Reserve’s 2% target, investors and households are asking: Will this number delay the Fed’s long-awaited rate cuts, or simply slow them down? In this article, we’ll break down what a 2.9% Consumer Price Index (CPI) means for the economy, how the Fed may respond, and what everyday Americans and market participants should expect next. Why the CPI Matters for Fed Decisions CPI vs. Core Inflation Headline CPI (2.9%) includes all items, such as food and energy. Core CPI strips out those volatile elements and is often a stronger signal of persistent inflation trends. The Fed’s main inflation target is based on PCE (Personal Consumption Expenditures) , but CPI data heavily influences both market expectations and consumer sentiment. Why 2.9% Is Significant It is above the Fed...