The economic consensus of the moment is that higher prices are the same as inflation, and the Fed is the only governmental entity situated to bring down higher prices. It’s a dangerous consensus. Prices are how a market economy organizes itself.

Traders in interest-rate futures increased the odds that the Federal Reserve this month will continue its pause on easing borrowing costs.

Federal Reserve Bank of St. Louis President Alberto Musalem said that while he anticipates price growth to moderate toward the central bank’s 2% goal, it is vital for policymakers to keep inflation expectations in check.

New data may point to emerging tension between the U.S. Federal Reserve's dual inflation and employment goals, as price pressures remained sticky in January while consumer spending slowed more than expected.

Surveys showing a rise in consumer inflation expectations mean the central bank needs to keep its focus on ensuring price pressures are contained.