Yesterday China kept us waiting a long time on the trade balance data ... but not today - timely inflation data!
CPI 2.3 % y/y
- expected 2.2% y/y, prior 2.1% y/y
PPI % y/y ..... mmmm, getting conflicting numbers on this ... one wire reporting 3.3%, and another says 1.5% (what a spread!) .... and ... the winner is up 3.3%
- expected 2.3% y/y, prior 1.2%
So, that's a huge beat for the PPI. The PPI is the business to business inflation, and its now at its highest since November of 2011. Some of this will be the impact of higher commodity prices, but some of it will be increasing demand in the economy (well, that's what would be good!).
