Two fresh inflation readings for the month of January showed prices increased more than Wall Street had expected but economists found positive news for markets and the Federal Reserve within the details.
When evaluating categories from both the Consumer Price Index (CPI) and Producer Price Index (PPI) that feed into the Fed’s preferred inflation gauge, the Personal Consumptions Expenditures (PCE) index, economists argue price increases likely decreased in the month of January.
Inflation Insights president Omair Sharif told Yahoo Finance that Thursday morning’s PPI release brought some “good news” for the Fed’s fight against inflation after CPI data shook up markets on Wednesday. Sharif estimates that “core” PCE, which excludes the volatile categories of food and energy, will likely show prices increased 2.6% in January, down from the 2.8% seen in December.
“We’re just, you know,…
