With inflation at 8.7%, monetary policy committee raised interest rate to 5%
Latest hike came after inflation rose slightly to 4.4% in April
Rates to stay higher for longer amid inflation, 2024 forecast revised down
Sales at general merchandise retailers rose 3.3% in April, while food and beverage retailers saw a gain of 1.5%
Inflation held steady at 8.7% in the year to May, against expectations for a modest decline
Process of getting inflation back down to 2% has "a long way to go,'' Fed chairman says
Growth in labour demand, average hourly wages offered slowing
Link between government spending and inflation is complex
Remaining excess savings unlikely to be spent, Fitch says
Food prices have risen 18% over two years and prices will stay elevated due to shrinking herd sizes, wage growth and other factors