US inflation cools amid tariff uncertainty

From think.ing.com

Today’s US data suggests that inflation remains on the path towards 2%, but with huge uncertainty over regulatory, tariff, fiscal and immigration policy the central bank can’t leave anything to chance and will be keeping monetary policy unchanged until June, we believe. The Federal Reserve's favoured inflation measure – the core personal consumer expenditure price deflator – rose 0.2%MoM/2.8%YoY in December as consensus predicted, but the good news is that to 3 decimal places it is 0.159% so below the 0.17% month-on-month we need to average over 12 months to deliver 2% year-on-year. The chart below shows that ... (full story)