the U.S. is seeing some disinflation, but not nearly enough as the Federal Reserve wants. The next CPI report on June 13 coincides with the start of the next Fed meeting to set rates.
The Fed will want more reassurance that core inflation, which has been broadly flat over recent months, is coming down. Yes, headline inflation has come down, but once food and energy costs are stripped out annual core inflation has remained in a 5% to 6% range since December 2022. The key to any move down in inflation will likely be shelter costs since these carry a high weight in the CPI index.
Support authors and subscribe to content
This is premium stuff. Subscribe to read the entire article.
Login if you have purchased