The US CPI dealt a harsh blow to risk assets and those betting on disinflation, yet the trend of easing price pressures persists globally, as highlighted by the latest UK inflation report out this morning. Discover more in our “5 Things We Watch” below!
We are growing increasingly convinced that we will not see a single print of 2% or lower in the US CPI in this cycle. Despite a cyclical de-acceleration, the sticky components keep the CPI too high and beneath the hood cyclicality is returning.