Symbolic imageCooling consumer prices have pushed US stocks back up after the retail-sales slump knocked the S&P 500 off its record, but research cited by the New York Times shows worker pay again lagging inflation, as in 2021-22.
This topic tracks US price data and what it means for the Federal Reserve's interest rate path. The main markers are the monthly consumer price figures from the Bureau of Labor Statistics and the PCE index the Fed itself prefers, which do not always point the same way, leaving policymakers divided over how quickly to move.
The Wall Street Journal reports that cooling US consumer prices and gains among oil refiners pushed stocks up, while European indices extended their record highs. New research cited by the New York Times shows worker pay is once more failing to keep pace with inflation, repeating the pattern of 2021-22.
US retail sales fell in July by the most in more than a year, and consumer sentiment weakened in August. Long-dated US borrowing costs reached their highest level in 25 years.
US producer prices were unchanged in July, and the S&P 500 closed at a record on Thursday. Treasury yields fell as traders pared bets on a Federal Reserve rate rise.
Wall Street JournalWall Street JournalWall Street JournalWall Street Journal
US consumer prices rose 0.1 percent in July and the annual rate slipped to 3.4 percent, figures released on Wednesday showed. Subdued core inflation buys the Federal Reserve time.