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Inflation Is Falling, and Where It Lands Depends on These Three Things
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The end of distressingly high inflation is slowly coming into view. Consumer prices gained 6.4% in January, down from June’s 9.1% annual rate, the highest since 1981. There is good reason to think inflation will keep falling, Federal Reserve Chairman Jerome Powell said earlier this month.
“The process of getting inflation down has begun,” Mr. Powell said at the Economic Club of Washington, D.C., though he cautioned it “is likely to take quite a bit of time” and “it’s probably going to be bumpy.”
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