CPI Report Indicates Moderate Inflation Trends
The latest CPI report is a vital indicator of inflation trends in the U.S. economy, influencing both the policies of the Fed and the market.
I would like to inform the group that today at 8:30 a.m., the Bureau of Labor Statistics will be releasing their consumer price index data. The latest CPI report is a vital indicator of inflation trends in the U.S. economy, most notably as the Federal Reserve ponders on a potential rate cut next month. Economists are anticipating the details depicted in the report show a moderate 0.2% increase in consumer prices for August falling close to the decline of 0.1% in July.
The principal importance of the CPI report is the reality that it is the one report that provides the best panoramic view of the inflationary pressures that exist today that influence both the policies of the Fed and the market. Notably, the Producer’s price index report was reduced significantly within the week by the bureau of labor statistics. The PPI that measures the cost of businesses and productions registered increases of 0.1%. It was drastically less than the 0.2%, which raised inflation concerns added to the 0.2% total in July.
Most importantly, the upcoming departure of the 2020 general election makes manageable prices for commodities like food, and gas will significantly impact the perception of the voters. The weekly inflation data will be essential as fully every top Fed official will be meeting at Jackson Hole for the annual economics symposium.
