Latest / The Macro Memo with Fexingo: Daily Conversations on Inflation, GDP, and Federal Reserve Policy
The Consumer Price Index Hit 4.2 Percent What It Means for the Fed
Consumer prices rose 4.2% annually in May, the highest reading in three years. Lucas and Luna break down the CPI print released this morning, what's driving the acceleration — shelter and energy are the big culprits — and why this complicates the Fed's rate-cut timeline. They also look at the bond market's reaction: the ten-year yield hit 4.54% and the two-year is at 4.26%, deepening the yield curve inversion. With the Fed funds rate at 3.63%, real rates are turning increasingly negative for consumers. Is stagflation a real risk, or just a buzzword? The hosts drill into the…
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