US (dis?) inflation – Target to cut prices on another 5000 items

US retailer Target cut prices on more than 1,500 popular items, effective Monday.

• And promises “thousands more price cuts” (on 5,000 times) ahead.

This is said to be in response to attract “inflation-wary shoppers turned off by high prices”.

Info comes via loads of media reports, here’s one:

• Target is cutting prices on up to 5,000 items to lure back inflation-weary shoppers

If this drives down inflation rates it’ll be welcomed at the Fed. Right now the prospect of rate cuts looks dim, these posts from Monday alone:

• Fed’s Bostic: It is going to take a while before we are certain inflation is headed to 2%

• Fed Gov. Barr: Q1 Inflation was disappointing. Did not provide confidence to ease policy.
• Fed Gov. Jefferson: Policy rate is in restrictive territory. Inflation still stubborn.
• More from a Fed Gov. Jefferson: Too early to say April CPI started a new trend
• SF Fed Pres.Mary Daly: Not yet confident that inflation is coming down to 2%
• Cleveland Fed Pres. Mester: Monetary policy is restrictive. Neutral rate may be higher

Also:

• WSJ Timiraos says Fed forecasts imply 6-month annualized rate of core PCE inflation at 3.2%
• 6 reasons markets are way too optimistic on Federal Reserve rate cuts

This article was written by Eamonn Sheridan at www.forexlive.com. Source