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PPI Airfares Undershoot CPI Again

US DATA
  • PPI airfares again of note, displaying much less of the strength seen in CPI airfares (remembering that PPI feeds into PCE).
  • PPI airfares increased 1.34% M/M in March after an upward revised -1.54% M/M in Feb (prior -2.6%), but it’s still far smaller than the +4.0% after +6.4% from the CPI data (adding 0.03pp and 0.05pp to overall core CPI in the process).

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