TD makes the following point on.....>

US DATA PREVIEW: TD makes the following point on the rental component of the

upcoming CPI release, with the rise in unemployment during the COVID-19 outbreak

leading to late / non-payments of rent: 

- "rents account for about 40% of the core CPI, so even a small increase in the

share of landlords saying they don't expect to get paid could have a noticeable

impact on the data, even with the report incorporating only one-sixth of the

panel of contributors on rents each month. For example, a 1.5-percentage-point

drop in rents accrued in the sample would subtract 0.25 percentage points from

the rental components of the CPI in April (because of the one-sixth share),

which would subtract about 0.1 point from the monthly change in core prices."