U.S. inflation slowed again last month, even as core consumer price index accelerated. The headline consumer price index (CPI) in August rose +8.3% year-over-year, compared to +8.5% in July. The figure, however, exceeded the Street consensus forecast of 8.1%. While the energy price fell -5% from the year-ago period, food price inflation came in at +11.4% y/y (the fastest pace since April...

U.S. consumer price annual inflation surged to 7% in December – registering the fastest pace in four decades, data from the Bureau of Labor Statistics revealed. The headline figure indicates an acceleration from the 6.8% pace in November. December’s rate is the highest since June 1982. Surging prices of used and new cars and rising rental costs largely fueled the increase in prices last...

Following a three-decade high of 6.2% in October, US annual inflation could rise even further in November. Ahead of the data to come out on Friday, some economists predict that inflation will be 6.8% in November. The prediction comes amid supply chain disruptions and demand following re-opening. "Essentially, the pandemic made it harder for the world to produce stuff and move it around,"...

U.S. consumer price annual inflation in October reached the fastest pace in 30 years , as revealed in the Bureau of Labor Statistics data. Headline CPI in October was estimated to be 6.2% year-over-year, up from the 5.4% pace in September. October pace is the fastest rate since 1990. Month-over-month, inflation was up +0.9%. Core inflation, which strips-out volatile components food and energy...

U.S. President Joe Biden has announced that the Port of Los Angeles will start operating 24/7. On Wednesday, Biden said that the move is intended to boost supply chains. The current disruption in the global supply chain has pushed up prices of consumer goods. Around 40% of shipping containers enter the U.S. through the ports of Los Angeles and Long Beach, California. "My administration is...

U.S. consumer price inflation slowed modestly in August compared to July, according to data from the Bureau of Labor Statistics. This potentially suggests the beginning of supply chain constraints easing. Headline CPI in August rose +5.3% from the year-ago period. It was +5.4% year-over-year in July -- the highest since 2008. Core inflation, which strips-out volatile components such as food...

Officials are divided about whether to announce it at their meeting on Sept. 20-21 or wait until November.The Fed chairman also didn’t specify the pace of the tapering.

The auction led to  yield of 1.68% , compared to March 10 yield of 1.523%.

Investors bid $2.36 for every $1 on offer from the Treasury, auction data showed.Foreign buyers, the data took down just under 60% of the sale.

The breakeven rate between five-year Treasury bonds and five-year inflation protected securities was 2.48% this week, down from the 2008 high of 2.5% it touched last month.

U.S. consumer prices increased moderately in January. On Wednesday, the Labor Department released data that showed consumer price index rose +0.3% in January, following a +0.4% increase in December. In the 12 months through January, the index rose +1.4% after a similar rise in December. Economists polled by Reuters had forecast the CPI rising +0.3% month-over-month, and +1.5% year-on-year...

The U.S. Federal Reserve might be ready to buy an unlimited amount of assets to support the economy amid the COVID-19 crisis. On Monday, the Fed said it will buy Treasury bonds and mortgage-backed securities "in the amounts needed to support smooth market functioning and effective transmission of monetary policy to broader financial conditions and the economy". On March 15, the central bank said it would buy atleast $700 billion in asset purchases. "The coronavirus pandemic is causing tremendous hardship across the United States and around the world.Our nation's first priority is to care for those afflicted and to limit the further spread of the virus", the Fed said. Following the news, the U.S. dollar index, which measures the greenback’s value against a basket of six global currencies, was -0.90% lower in the session.

The yield on the benchmark 10-year Treasury note fell below 2% on Tuesday as investors looked for safety following the release of much weaker-than-expected confidence data. The yield traded at 1.98% as of 11:02 a.m.The 2-year rate also slid to 1.71% while the 30-year bond yield declined to 2.52%.

The yield on the benchmark 10-year Treasury note fell below 2% for the first time since November 2016 overnight after the Federal Reserve on Wednesday signaled rate cuts were likely on the way.

Goldman Sachs is warning that a growing consensus that the Federal Reserve will cut rates soon is misguided. Chairman Jerome Powell said last week the Fed will “act as appropriate to sustain the expansion, ” which the market interpreted as a signal of rate cuts on the horizon.

The escalating trade war between China and the U.S. could increase pressure on the overall economy, according to Boston Fed President Eric Rosengren. The central bank official said in prepared remarks Tuesday that the ongoing conflict between the world’s largest economies is a “prominent downside risk,” and added that it seems to be an “important reason for policymaker patience until this source of uncertainty is more resolved.”

Potential Federal Reserve nominee Judy Shelton thinks the central bank ought to pay more attention to financial markets when setting interest rates. Already an economic advisor to President Donald Trump, Shelton has been mentioned frequently as a possible candidate for a Fed governor position.

Renewed trade war fears triggered a bond market recession indicator on Thursday. The yield on the 10-year Treasury note fell below that of the 3-month bill, inverting part of the yield curve.The yield curve is the plot of interest rates of bonds having equal credit quality but differing maturity dates.

Chicago Federal Reserve President Charles Evans said on Monday that he’d be comfortable leaving interest rates alone until autumn 2020 to help ensure sustained inflation in the U.S. READ MORE...

The Federal Reserve decided Wednesday to hold interest rates steady and indicated that no more hikes will be coming this year. In a unanimous move that coincides with market expectations and demands, the central bank’s policymaking Federal Open Market Committee took a sharp dovish turn from policy projections just three months earlier.READ MORE...

Goldman Sachs says the Federal Reserve is likely to let inflation run higher than its 2 percent target. The central bank has begun a monthslong review of its policy framework to consider alternative approaches to targeting inflation.Goldman believes the Fed will decide to allow overshoots of its inflation goal next year, which would take rate hike off the table.

government debt yields held steady on Friday as market participants continued to monitor trade talks between China and the U.S. and awaited fresh data. At around 4 p.m.READ MORE...