US consumer price inflation data for February came in slightly below expectations across the board. However, while the Fed does not target this index, price pressures are still too strong to warrant a near-term Fed cut. The data does ease fears of resurgent inflation that resulted from a high January CPI reading.

Inflation eased last month, but the data may offer less comfort to businesses, consumers and the Fed than it otherwise would as looming tariffs may keep prices rising.