January CPI Comes In Just Hotter Than Expectations

The number:

Headline inflation of 0.4% was just ahead of expectations. 0.2% core was just ahead.

Markets aren’t going anywhere.


Background: Hyperinflation time in America? Analysts are looking for 0.3% headline CPI growth, and 0.1% in core. Yesterday we got a surprise 0.5% jump in core PPI, which either means CPI has to jump or margins are coming down.

For some key charts to get ready, see here >


Photo: St. Louis Fed

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