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Core PPI Continues To Support Moderation In CPI Core Goods

US DATA
  • Core PPI broadly in line in September with ex food & energy at 0.30% M/M (cons 0.3) from a downward revised 0.27% and ex food, energy & trade 0.36% M/M (cons 0.2) from 0.21%.
  • Sticking to the ex food & energy measure (see chart, light blue), it continues to point to a trend moderation in core CPI goods inflation (dark blue), consistent with the improvement in supply chains in the NY Fed GSCPI (yellow).
  • It clearly says little above CPI services though (red), which remain in focus for tomorrow’s report.

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