The Summary of Economic Projections (SEP) has remained largely the same, with little change. The dot plots, which represent the interest rate projections of Federal Reserve officials, have remained at 5.10%. The expected Real GDP for this period has been revised slightly downward from 0.5% to 0.4%, while the predicted Unemployment Rate has been modified slightly upward from 4.5% to 4.6%. The preferred inflation gauge of the Federal Reserve, the core PCE, is expected to be 3.6%, up from 3.5% in December’s SEP report. Meanwhile, headline inflation is estimated at 3.3%, up from 3.1% in the previous SEP report.
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