Free Trial

SocGen economist Omair Sharif said....>

US DATA REACT
US DATA REACT: SocGen economist Omair Sharif said on July CPI, "CPI to Fed: You
can checkout anytime you like." He adds the "July headline and core CPI rates
inched up by 0.1%, below the consensus estimates but exactly in line with our
forecast. Similarly, the NSA index printed 244.786, virtually identical to our
(well) below consensus forecast of 244.784. While the data was discouraging for
Fed officials, we do not think this takes a December hike off of the table just
yet."
- He adds that "to be sure, this was the fifth consecutive soft core reading,
and it left the yoy core CPI at 1.7% (1.692%). I suspect the yoy core rate will
fall further to 1.6% next month given that the core rate jumped by 0.26% last
August. So, the optics will not look good for the Fed, especially as the August
CPI report will be released on Sept. 14, just six days ahead of the September 20
FOMC (where the Fed will surely have to lower its 1.7% core PCE projection for
2017, as it looks like the July yoy core PCE deflator will fall to 1.4%)."

To read the full story

Close

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.
}); window.REBELMOUSE_ACTIVE_TASKS_QUEUE.push(function(){ window.dataLayer.push({ 'event' : 'logedout', 'loggedOut' : 'loggedOut' }); });