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Consumers pull back on spending amid tariff tensions and inflation cools
Consumers reduced spending by 0.2 percent in January as higher import taxes and Washington fiscal threats loom. Inflation cooled to 2.5 percent from 2.6, while core inflation slipped to 2.6, though tariffs could reverse the trend. The Fed kept rates at 4.3 percent, with economists forecasting slower first quarter growth and potential price increases from firms like World Emblem.
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