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"Federal Mouthbolt" warning: CPI is crucial tonight
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3 hours ago 1,509
Golden Finance reported that on February 12, according to Jinshi, Wall Street Journal reporter Nick Timiraos, known as the "Federal Mouthbolt", pointed out that not all monthly CPI inflation reports are equally important, in an economy facing price pressure, The impact of January CPI data is even greater. Timiraos said the inflation report to be released this week could show whether the Fed's efforts to lower inflation cleared a key obstacle. The beginning of the year is the time for businesses to take into account higher food, energy and labor costs within a year. The Labor Department is scheduled to release January CPI data on Wednesday, and another PPI report on wholesale prices will be released Thursday. Timiraos stressed that for the Fed, the data has a significant stake. A year ago, inflation seemed to be moving quickly towards the Fed's goal, but they encountered major obstacles in the first quarter. In addition, officials encountered similar inflation surprises in early 2023, when changes in seasonal adjustment factors offset the Fed's previous progress. In addition, Timiraos also said that the second reason for the particular importance of tonight's inflation report is that Trump is implementing new tariffs, including an additional 25% tariff on steel and aluminum imports, further complicating the inflation outlook for 2025. change.
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