CPI Inflation at 5.21%, hits 17 months high in December 2017

13 Enero, 2018, 05:05 | Author: Arnold Perez
  • The Nikkei India manufacturing Purchasing Managers’ Index rose at the fastest rate in five years in December to 54.7 from 52.6 in the previous month

Shoppers look over shoes on sale at a Macy's store in New York, NY, U.S. on November 23, 2012.

Investors' already-firm expectations rose for a Fed interest-rate increase in March, as the data could help calm an increasingly heated debate among central bank officials over why inflation has stayed relatively placid despite solid economic growth and the lowest jobless rate since 2000.

A modest rise in consumer prices in December and solid growth in retail sales bolstered expectations that inflation is firming after a long run of softness and that US economic growth ended 2017 on a robust note.

The Consumer food price index (CFPI) in December stood at 4.96 per cent compared to 4.42 per cent in November 2017.

Most of the pressure here in December's inflation was tied to housing and medical costs.

"And, with inflation expected to continue to taper up all the way until the middle of the year, we do not expect any kind of changes in the policy rate until the end of the year", says Tirthankar Patnaik, India Strategist at Mizuho Bank.

More news: Detective Pikachu Finally Coming to the West This March
More news: Mensaje reflexivo y foto hot — Cande Tinelli
More news: Juez ordena reactivación del DACA parcialmente y Trump ya respondió

The yield for the 10-year benchmark note climbed to 2.583%, from 2.531%, while the 30-year bond yield was higher at 2.894%, versus 2.863%. USA stock index futures pared gains. Meanwhile, the IIP growth for October 2017 has been revised downwards to 2% from the provisional estimates of 2.2 released last month.

Last month, the price of services fell 0.2 percent after rising for nine straight months. It increased borrowing costs three times in 2017. The energy index rose 6.9% in the last twelve months. The cost of motor vehicle insurance increased 0.6 per cent. Economists were expecting to see a 0.2% rise in price pressures.

After maintaining a benchmark policy rate at a record low near zero for seven years, the Fed started gradually raising rates modestly - once in December 2015 and again in December 2016.

Retail inflation touched 17-month high in December due to strengthening of food and crude oil prices, dashing hopes of interest rate cut in the near future. The nationwide average for gas is $2.52, up from $2.35 a year ago, according to AAA. Food away from home grew 0.2%. Sales at auto dealerships rose 0.2 percent.

Earlier this month, Finance Minister Arun Jaitley had told Parliament that inflation had increased owing to a seasonal rise in vegetable prices and the higher house rent allowances disbursed to government employees under the 7th Pay Commission recommendations. These so-called core retail sales correspond most closely with the consumer spending component of gross domestic product. The Commerce Department previously said they had increased 0.8 per cent in November.

Recomendado:



Popular

Trump "arde en llamas" en Time, a un año de su presidencia
El autor de la ilustración, Edel Rodríguez , quien explicó que la portada fue una petición del director creativo de la revista, D. Time, quien ha utilizado al Mandatario en otras ocasiones, conmemoró el primer año de Trump al frente de la Casa Blanca .

Argentina después de Venezuela en toda América Latina — INFLACION
El rubro Educación también está entre los que registra más aumentos; en el noroeste, por ejemplo, fue de un 39,7%. Le siguieron las erogaciones en transportes y comunicaciones con un aumento interanual del 34,1%.

Winter Weather Advisory in effect Friday into Saturday
It was the deep freeze during the last week of the month that really lowered the average temperature to levels far below normal. The National Weather Service has issued a WINTER WEATHER ADVISORY for SW Montana east of the divide through noon on Friday .

The Consumer Electronics Show lost electricity because irony knows no bounds
NV Energy, the region's power supplier, hasn't responded to requests for comments. Multiple reports noted the outage hit around 11:15 PT.

Tensión en Liniers entre manteros y las fuerzas de seguridad
Cerca de 300 agentes llegaron al lugar con móviles policiales, carros hidrantes, carros de asalto y micros de la policía . Son traídos no como migrantes naturales que vienen a trabajar de manera legal sino para trabajar en la clandestinidad.

Tucumán se encuentra bajo alerta meteorológica
En la jornada de ayer se registraron temperaturas máximas superiores a los 36° y una sensación térmica de 37°. En los sectores mas elevados de alta montaña las precipitaciones pueden ser en forma de nieve .

La gran noticia que involucra a Luisana Lopilato y Michael Bublé
En noviembre de 2016, la familia tuvo que interrumpir un viaje a Argentina porque creían que Noah sufría paperas. Si bien los protagonistas no contaron nada, la noticia fue confirmada por Laura Ubfal en su portal.

European Union urges United States not to withdraw from Iran nuclear deal
Trump's team is not fooling anyone: They are trying to kill the nuclear deal, but in a way that will allow them to evade blame. If he does not sign the sanctions waiver this week, the USA will be violating its end of the nuclear agreement.

'This is the Netherlands, you have to answer questions'
State Department spokesperson pointed to a tweet that Hoekstra sent out in December addressing the interview with Nieuwsuur. Hoekstra pointed to the public regrets he had made for the exchange with Zwart on Wednesday.

National Football League reportedly investigating whether Raiders violated Rooney Rule in hiring Jon Gruden
Raiders general manager Reggie McKenzie said Tuesday he interviewed two minority candidates before Gruden's hiring was announced. Gruden coached the Raiders from 1998 to 2001 before being traded to the Tampa Bay Buccaneers and capturing Super Bowl XXXVII.