The Fed’s 3.1% Inflation Problem Just Got Worse | S3 E 176 | 10-29-26
The U.S. economy grew 3.4% in the third quarter, but beneath the strong headline number, inflation is accelerating and consumers are drawing down their savings. Is the Federal Reserve falling behind?
In this episode of Markets with Megan, Verdence Capital Advisors CIO Megan Horneman breaks down the latest GDP and inflation reports, including:
– 3.4% GDP growth: What’s driving the economy’s continued expansion?
– 3.1% core PCE inflation: Why the Fed’s preferred inflation gauge is moving further from its 2% target.
– 3.8% personal savings rate: What declining household savings could mean for consumer spending.
– 12.7% business investment growth: How capital expenditures, technology, and AI-related investment are supporting economic growth.
– The Fed’s next move: Why additional interest rate hikes could be coming in December and early 2027.
With technology stocks under pressure and inflation remaining stubborn, what should investors watch as we head into the final months of 2026?
Subscribe to Markets with Megan for timely economic insights and market analysis.
🎧 More episodes: https://marketswithmegan.fm
#MarketsWithMegan #FederalReserve #Inflation #GDP #InterestRates #EconomicOutlook #StockMarket #Investing #PCEInflation #MarketNews
