Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
The Federal Reserve's inflation fight is moving in the right direction as one measure of underlying trend price pressures decreased again for the eighth consecutive month, suggesting the central bank has less need for additional interest rate hikes.
The August Multivariate Core Trend (MCT) reading stood at 2.5%, down from July’s downwardly revised 2.53%, which had initially been reported at 2.76% a month ago. That compares with a PCE price index year-over-year reading of 3.5% in August, and core PCE reading of 3.9%. The Fed’s inflation target is 2%.
(See MNI POLICY: Softer Trend Inflation Boosts Case For Fed Pause)
"Housing accounted for 0.39 percentage point of the increase in the MCT estimate relative to its pre-pandemic average, while services ex-housing accounted for 0.34 ppt. Core goods had a slightly negative contribution of -0.04ppt," New York Fed economists wrote.
Source: New York Fed
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.