Inflation Rates Fall as Prices of Durable Goods Decrease

Despite the decrease in inflation, many Americans are not feeling the impact due to the continued rise in prices for daily necessities.

Inflation rates have been falling steadily, with the Personal Consumption Expenditure (P.C.E.) deflater indicating a rise of just 3% from October 2022 to October 2023, close to the Federal Reserve's target of 2%.
Prices of durable goods, such as used cars and appliances, have been falling for the past five months, contributing to the decrease in inflation.
Despite the decrease in inflation, many Americans are not feeling the impact due to the continued rise in prices for daily necessities like groceries and healthcare.
Economists predict that the fall in goods prices could bring inflation back to the Federal Reserve's 2% target by as early as the second half of 2024.
The decrease in inflation has been achieved without significant job losses, contradicting predictions that reducing inflation would require a recession or a large rise in unemployment.