The latest US inflation report looked like good news — next week may change that

February’s CPI report gave markets a reason to relax. Inflation looked soft enough to keep hopes for rate cuts alive, with consumer prices up 0.3% on the month and 2.4% from a year earlier, while core CPI rose 0.2% in the month and 2.5% annually. Shelter kept cooling, and the overall picture looked manageable for the Fed. But the relief came with a catch. By the time the report arrived on March 11, the picture had al…