“This is where I’ve been expecting us to be for a number of months now – closer to two (per cent) than one”.
Inflation is running below the Fed’s 2 percent target. The Labor Department reports on consumer prices for June on Friday, July 17, 2015.
Rising demand for apartments also was evident in the inflation data.
Excluding food and energy prices, core producer prices increased by 0.3 percent in June after edging up by 0.1 percent in the previous month.
The poll also showed that the Monetary Authority of Singapore’s (MAS) core inflation measure likely increased 0.1 per cent from a year earlier in June, steady from a five-year low set in May.
Core prices were up 1.8% from a year earlier.
The June increase was broad-based, with advances in prices for energy, shelter, and food. The cost of food eaten at home was unchanged over the year.
The U.S. Bureau of Labor Statistics said the energy index for Midwest consumers rose 5.9 percent over the month. “At the same time, tapering gasoline prices coupled with lower housing prices will allow consumers to decrease costs in two major areas of their monthly expenses”. The product sold the cheapest in Zamfara at N93, followed by Edo at N94.45.
“The wait for the first rate hike may not be that much longer”, said Joel Naroff, chief economist at Naroff Economic Advisors in Holland, Pennsylvania. The case for a September rate rise remains finely balanced. Even so, there are signs of heating inflation in the economy. Medical care prices inched upward, as prescription drugs and nonprescription drugs rose in price.
Wiley Photo/FlickrThe latest report on consumer prices is set for release from the BLS at 8:30 am ET. The last annual increase came in December.
Going by the fear expressed by the BGL official, there is cause for alarm considering the rise in liquidity which the recent financial bailout granted states is bound to bring. Canada’s annual inflation rate was 1.0 per cent in June as higher prices for food and shelter were offset in part by lower gasoline prices.
Production and labour costs are factors contributing to inflation.
“We are seeing strong household formation by the millennial cohort, which is putting pressure on many local housing markets”, said Peter Ciganik, managing director at real estate investment firm GTIS Partners in New York.