The US Bureau of Labor Statistics reported on Thursday that inflation in the US, as measured by the Consumer Price Index (CPI), declined to 6.5% on a yearly basis in December from 7.1% in November.
Headline CPI inflation continued to soften in December
NOVEMBER CPI REVIEW
Inflation is falling – there is no doubt about it. The Core CPI has come out at 0.2% in November, even lower than 0.3% in October. On an annualized basis, November's figure represents 2.5%, far below 6% YoY. Underlying prices are clearly falling.
The US Bureau of Labor Statistics reported on Tuesday that inflation in the US, as measured by the Consumer Price Index (CPI), declined to 7.1% on a yearly basis in November from 7.7% in October. This reading came in below the market forecast of 7.3%.
OCTOBER CPI REVIEW
Democrats must be frustrated – US inflation has finally dropped significantly, but this report came after the elections. But we are not here to talk about the mid-terms– which had little impact on investors – but on the next moves in markets. In short: the party will likely continue.
The US Bureau of Labor Statistics reported on Thursday that inflation in the US, as measured by the Consumer Price Index (CPI), declined to 7.7% on a yearly basis in October from 8% in September.
SEPTEMBER CPI REVIEW
There is no rest for the wicked inflation – prices are rising almost everywhere, including the rental sector. While headline inflation edged lower to 8.2%, the Core CPI rose by 6.6% YoY and 0.6%, both 0.1% above already elevated estimates.
The US Bureau of Labor Statistics reported on Thursday that inflation in the US, as measured by the Consumer Price Index (CPI), declined to 8.2% on a yearly basis in September from 8.3% in August.
August CPI REVIEW
Like Ukraine's tactics, so has the the price at the pump diverted attention from everything else – and everything else is rising in price. The Core Consumer Price Index has shocked markets with a leap of 0.6% in August vs. 0.3% expected and 0.3% last month.
The US Bureau of Labor Statistics reported this Tuesday that inflation, as measured by the Consumer Price Index (CPI), decelerated to 8.3% on a yearly basis in August from 8.5% in the previous month. The reading was slightly above consensus estimates pointing to a decline to 8.1%.
July CPI REVIEW
The fog around peak inflation has cleared – at least until the Federal Reserve announces its verdict. The US CPI report showed a considerable moderation in inflation, Core CPI rose by only 0.3% in July, significantly less than 0.5% expected. On a yearly basis, it stayed at 5.9% – cresting.
Inflation in the United States, as measured by the Consumer Price Index (CPI), declined to 8.5% on a yearly basis in July from 9.1% in June, the data published by the US Bureau of Labor Statistics revealed on Wednesday.
June CPI REVIEW
Crowded trade? Not a problem. The US dollar has received another good reason to attract flows. US inflation has hit 9.1% YoY, yet another four-decade high. The price at the pump is eroding Americans' disposable income – but prices are rising almost everywhere.
Inflation in the US, as measured by the Consumer Price Index (CPI), jumped to its highest level in four decades at 9.1% on a yearly basis in June from 8.6% in May, the data published by the US Bureau of Labor Statistics showed on Wednesday.
The main US equity indices reacted negatively to the higher-than-expected US CPI data. The two key components the market was focusing on were the yearly CPI which came in at 9.1% versus 8.8% expected and the core number which was 5.9% versus 5.7% expected.
What is the US CPI?
The Consumer Price Index released by the US Bureau of Labor Statistcs is a measure of price movements by the comparison between the retail prices of a representative shopping basket of goods and services. The purchase power of USD is dragged down by inflation. The CPI is a key indicator to measure inflation and changes in purchasing trends. Generally speaking, a high reading is seen as positive (or bullish) for the USD, while a low reading is seen as negative (or Bearish).
Why it matters to traders?
The US Federal Reserve has a dual mandate of maintaining price stability and maximum employment. According to such mandate, inflation should be at around 2% YoY and has become the weakest pillar of the central bank’s directive ever since the world suffered a pandemic, which extends to these days. Price pressures keep rising amid supply-chain issues and bottlenecks, with the Consumer Price Index (CPI) hanging at multi-decade highs. The Fed has already taken measures to tame inflation and is expected to maintain an aggressive stance in the foreseeable future.