Inflation slowed more than expected in February, bringing some relief to consumers and Federal Reserve officials alike even as the effects from higher tariffs threaten to push it up again.. The consumer price index climbed 2.

In a positive sign for the economy, headline inflation slowed in February. But the reading alone likely is not enough to break the Federal Open Market Committee out of its wait-and-see mode.

A report by Union Bank of India noted that India CPI likely slowed down further to 3.94% in February 2025 as against 4.31% in January 2025 on account of further easing in vegetable prices, especially OPT (onion, potato and tomato). It expects that food inflation has eased to less than 5% in February.

The inflation rate last month was slightly lower than forecast by economists, although price increases are still higher than the Fed would like.

Inflation came in cooler for February. That could give Federal Reserve officials extra confidence that price pressures were easing

While the consumer and producer price indexes both were lower than market expectations, that won't necessarily be reflected in the main PCE price index measure the Fed uses to gauge inflation. "In short,