Inflation Report Keeps Fed Rate Hike Debate Alive

The Financial Exchange Show · Aug 12, 2026 · 38m · transcript

The latest CPI report came in largely as expected, but inflation is still running above the Fed’s target and Kevin Warsh may have a difficult case to make if he wants to keep rates unchanged.

Chuck Zodda and Paul Lane break down the July inflation report, why lower energy prices helped keep the headline number contained, and why core inflation may still be too elevated for the Fed to ignore. They also discuss how rising gas prices could affect the next CPI report, why markets now see a greater chance that the Fed stays put in September, and whether the economy could handle a modest rate hike…