US inflation slowed in February, raising hopes that the US Federal Reserve will cut interest rates again.
The US Labor Department reported no change in consumer prices last month, against expectations of an 0.3% increase from the previous month.
The report was welcomed by investors, who have been worried that recent cuts in rates might US retail sales in surprise rise ...
US homeowners 'to get extra help' ... boost inflation.
The US central bank meets next week to decide their next move on interest rates.
Many economists expect rates to be lowered below 3%.
The inflation rate on a yearly basis was 4%.
The Fed is worried about that the slump in the property market and the credit crunch is pushing the economy into recession.
US house prices have been falling, and job creation has turned negative.
On Thursday the Commerce Department reported a big fall in retail sales for February.
Retail sales fell by 0.6% last month.
Analysts had been expecting a rise of 0.2% in retail sales.
(BBC)
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