Inflationary Pressures and Expectations
The Consumer Price Index (CPI) for June came out this week. The data showed year-over-year inflation of just under 5.4% (higher than expected) while 10-year Treasury yields declined. Markets broadly reacted with skepticism, perhaps believing that the Fed would have to raise interest rates sooner than expected. This week's video also looks at jobs data from openings to unemployment claims to better understand how wages could impact inflationary pressures.
