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Core PPI Inflation Beats And Revises Tuesday’s Revisions Higher

US DATA
  • ‘Core’ PPI inflation was clearly stronger than expected in January, with final demand ex food & energy rising 0.49% M/M (cons 0.3) and notably so ex food, energy & trade rising 0.59% M/M (cons 0.2).
  • In both cases, these are the fastest monthly rates since March and also follow an upward revised December of 0.33 (initial 0.09) and 0.19 (initial 0.10) respectively, themselves having only just been revised on Tue on new seasonal factors.
  • In all, it lends support to the uptick in CPI core goods ex used cars to 0.46% M/M from Tuesday, coincidentally following g a stalling in the previously solid improvement in supply chain measures as indicated by the NY Fed’s GSCPI.

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