ROUNDUP: EXPERTS SEE PROMISING SIGNS, NEED TO PASS BIDEN AGENDA AFTER CPI REPORT
The latest Consumer Price Index (CPI) report showed rising costs due to Putin’s brutal invasion of Ukraine. And although inflation remains high, good news can be found in the report.
Experts are taking note that, excluding fuel and food costs, core inflation is trending downward and has hit the lowest rate since September 2021.
What They’re Saying…
Lael Brainard, Federal Reserve Governor: “It’s very welcome to see the moderation in [core inflation]. I’ll be looking to see whether we continue to see some moderation in the months ahead.”
Jeanna Smialek of the New York Times: “The core index offered a rare glimmer of good inflation news: It slowed down a bit on a monthly basis, rising 0.3 percent from February, compared with 0.5 percent the prior month.”
Dean Baker, senior economist at the Center for Economic and Policy Research: “Goods prices, excluding food and energy, fell 0.4 percent in March…. This is potentially a very big deal…. This category was at the heart of the supply chain story. The price of many of these items [was] driven up by shortages and shipping bottlenecks, not production costs. The drop indicates problems are getting resolved.”
Jason Furman, Harvard University: “In sum, don’t be distracted by the 12-month headline. There’s a glimmer of hope in these data: core CPI down while core services only picked up slightly. The worst may now be behind us.”
Lauren Melodia, Deputy Director of Macroeconomic Analysis at the Roosevelt Institute: “CPI inflation numbers today demonstrate the need for further Congressional action to invest in key industries driving price increases and reign in excess corporate and landlord profiteering.”
Felix Salmon, Axios: “[Inflation] has probably gotten as high as it’s going to get, and could soon start coming down. Inflation “has likely peaked,” said Bank of America analysts on Tuesday. Their counterparts at Capital Economics concurred, saying that the 8.5% figure would “mark the peak” for the series.”
Timothy Noah, The New Republic: “The new inflation numbers from the Bureau of Labor Statistics suggest that the Covid-driven reason inflation rose in the first place—disruption in the supply chain that boosted prices for goods—is starting to ease.”
Morningstar: “The latest inflation report showed costs hitting consumers where it hurts. But there are hints the skyrocketing cost of living may be easing.”