US inflation slows, Fed signals cautious approach to rate cuts

Despite a decline in inflation rates, the Federal Reserve maintains a cautious stance on reducing interest rates, prioritizing economic stability.

US inflation rate decreases, with core CPI rising 3.7% in January, marking the smallest year-over-year increase since April 2021.
Federal Reserve remains cautious about reducing interest rates, emphasizing the need for more data to ensure economic stability.
Economists forecast a less than 3% overall CPI increase, the first in nearly two years, signaling progress in controlling inflation.
Investors and policymakers closely monitor upcoming economic reports and Fed officials' speeches for clues on future rate cuts.
Global economic updates, including job data and housing market trends, contribute to the Fed's cautious approach to interest rate adjustments.