Last week, the US Labor Department reported that its core consumer price index (CPI) for the month of May increased by a whopping 3.8% on a year-on-year basis.
This marks the second month in a row where US inflation has handily beaten expectations and the numbers are frankly quite big. The sequential inflation readings in both April and May were some of the strongest numbers we have seen since the early 1980s. So, is it time to start worrying about a major inflation breakout in the US? The likely answer is: probably not. All eyes on the Fed's next move as US inflation jumps to 5% in May Last month we noted that almost 80% of the inflation was driven by transitory items. Basically, the nation is experiencing large increases in used car pri...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
