The latest US CPI data ... Hot or Not?
Inflation data from the US on June 10 came in hot:
Or, maybe it did not:
- The Federal Reserve Bank branch in Cleveland publish their own CPI index, its trimmed-mean inflation index rose 2.6% y/y (0.4% m/m)
- 'trimmed mean' translated means, in a nutshell, that the index strips out those items with the biggest price swings, an attempt to gauge the underlying rate of inflation
Cleveland measure bounded in red below will give the FOMC comfort: