Tag Archives: inflation

Inflation Looks Hotter than it is

The Consumer Price Index edged up a modest 0.1% in April, with retreating energy prices offsetting some of the increase in services. Core CPI (non- food and non-energy) rose a more than expected 0.3% in April. Almost all of the acceleration in inflation could be traced to the medical services component, which has been decelerating [...]

Another Dismal Report

Industrial production dropped 0.3% in April. The decline for March was not as severe as originally reported, but still lower. Losses in the mining and utilities sector are driving the drop in industrial production. That said, the weakness was broad-based

Consumers Catch Up on Spending

Personal consumption expenditures rose 0.4% in March after being revised up slightly for the previous month. The increase was 0.2% faster than the pace of inflation. Personal disposable income growth actually contracted slightly

Bending the health care cost curve over 15 years

My favorite chart from this morning’s CPI release

Consumer Prices in Line with Expectations

The headline numbers in the Consumer Price Index (CPI) rose 0.2% in March, buoyed by higher energy prices, mainly motor fuel, which rose 3.9% in March.

Saving Rate Rises

Real personal disposable income growth increased at a more muted 0.2% pace in February, on the heels of higher prices at the pump. Revisions to January were to the upside, but only slightly. Overall income growth remained solid during the first two months of the year, in response to solid employment growth and a pickup [...]

Inflation Remains Tepid

The consumer price index (CPI) rose 0.2% in February, with a slight uptick in prices at the pump and accelerating rents offsetting a drop in prices elsewhere in the economy. Indeed, overall inflation measures were essentially flat when compared with a year ago. The core (non-food and non-energy) measure of the CPI rose 1.7% from [...]

PPI Continues to Cool Down

The Producer Price Index (PPI) for final demand fell 0.5% in February after plummeting 0.8% in January. Moreover, the bulk of those declines (70%) occurred in services as opposed to goods, which had been weighed down by falling oil prices in recent months. The decline in services was dominated by a loss in margins for [...]

Inventories Less of a Problem in Fourth Quarter

Real GDP was revised down to 2.2% in the fourth quarter from an initial estimate of 2.6%. A sharp downward revision to inventories was the primary reason for the revision, which leaves less of an overhang for producers to drain in early 2015. Imports were also revised up, reflecting the phenomenal strength of consumer spending