On the economic calendar in the US on Friday 28 May 2021 … a big one for CPI! Preview.

The folks calling US inflation only transitory are going to have to fight off those disagreeing today if the consensus call for the data is correct.

There is a good amount of data due from the US, amongst it is the PCE price index 

  • due at 8.30 am US ET
  • which is 1230 GMT 

Reuters polling have expectations at 0.6% m/m and … drum roll please …. 2.9% y/y

As background to this, the US Federal Reserve uses the PCE (personal consumption expenditures price index) as its preferred inflation measure. The Fed’s target is 2%. 

Dallas Fed head Kaplan has been calling for a tapering discussion for months now, Vice Chair Clarida seems to be getting on board (for a discussion). Kaplan may get some vindication today. 

 The folks calling US inflation only transitory are going to have to fight off those disagreeing today if the consensus call for the data is correct.

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