Hassett: Inflation Still Needs Attention, Respects Fed Independence

The NEC director's admission that disinflation may have stalled is notable because it comes from inside the administration, not from Fed officials who have been cautious about declaring victory. The explicit nod to Fed independence, paired with a comment on Warsh, reads as a signal that the White House is trying to keep distance from monetary policy decisions even while flagging inflation risk. For markets, the framing of the recent data as either an interruption or a blip is the crux: whether the next inflation prints confirm a pause in the downward trend or a one-off is the open question.