Pretty frisky inflation number with one apparent anomaly
Headline is 0.796% MoM and 4.3% YoY.
Core 0.275% MoM and 2.3% YoY.
Many components on trend: OER 0.3%, medical 0.4%, recreation 0.1%, tobacco 0.2%
Apparel was off-trend, rising 0.8%.
Within apparel, mens and women’s clothing were both negative for the month. So the sole source within this category was ‘toddler and infant’ clothing, rising 1.7%.
This would have knocked down core enough to round down to 0.2%.
But persistence of inflation here disconcerting to Fed.
Note that OER is up 0.3%, but housing is in decline in most housing price indexes. So . . . the perverse nature of real-world measures of aggregate prices is still an (unaddressed) issue.
Note that OER is up 0.3%, but housing is in decline in most housing price indexes. So . . . the perverse nature of real-world measures of aggregate prices is still an (unaddressed) issue.
Agreed- check out the leads and lags between oer and housing prices as well. Also, the Fed does a very good job analyzing this issue.