Easing US core inflation seen reinforcing fed optimism

(Bloomberg) — Underlying US price pressures probably continued to recede as 2023 drew to a close, backing up optimism at the Federal Reserve about the path for inflation. Most Read from Bloomberg The consumer price index excluding food and fuel, a measure favored by economists as a better indicator of underlying inflation, is seen increasing 3.8% in December from a year earlier. That would mark the smallest annual advance since May 2021, and illustrates the progress the Fed has made on squelching inflation that during 2022 clocked in at the fastest pace in 40 years. While price growth is still…