Inflation was tame last month and the pace of housing construction slowed, according to government reports on Thursday that led financial markets to trim bets on how far interest rates will rise.
The U.S. consumer price index edged up just 0.1 percent in February, both overall and excluding volatile food and energy prices, the Labor Department said. Separately, the Commerce Department said housing starts, completions and permits for future building all dropped in February. The report pointed to moderation after a five-year rally in the housing market.
