Loading…
San Francisco Fed economist Michael Bauer described declining inflation, with headline PCE at 2.6% and core CPI at 3.9% over 12 months. He said the labor market remains strong, with December payrolls up 216,000 and unemployment at 3.7%.
He flagged wage growth as an upside risk to inflation.
Persistent labor and wage strength could delay Fed easing, keeping the dollar firm and financing costs high. That is a modest headwind for commodity demand and prices.
frbsf.orgMichael BauerJan 18, 2024After 139 past report events, US Dollar (Broad) moved a median -0.1% over 5 sessions (47% higher; middle half -0.5% to +0.4%), and +0.1% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
