Yesterday's CPI and core CPI data are still okay, and the market feedback is good. Today's PPI data has a follow degree that is not as high as CPI, but the data of PPI + CPI can be used to calculate the data of core PCE, which is the most followed data by the Fed. Powell often mentions that 2% is the core PCE to 2%.



The current market expectations are good, basically all lower than expected, if it can meet or be lower than market expectations, it means that the core PCE data is very likely to be lower than the previous value, which is a good thing for the market.

However, the good estimate is limited. Without the new adjustment of +25% tariff included in the current data, it can only be said that if there is no tariff, it is possible to see a decrease in US inflation. However, considering the issue of tariffs, the current data is not very indicative.
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