U.S. Core CPI and Headline Inflation

U.S. Core CPI and Headline Inflation Goldman Sachs forecasts U.S. core CPI inflation to be 2.8% year-over-year by the end of 2025, factoring in the impact of tariffs. Without tariffs, their projection for core CPI inflation would be 2.3% by year-end. Image: Goldman Sachs Global Investment Research

Gold/CPI Ratio

Gold/CPI Ratio The inflation-adjusted price of gold has reached a new high, breaking its previous record from January 1980. This reflects the ongoing devaluation of the U.S. dollar, global economic uncertainties, and strong demand from central banks. Image: Bloomberg

U.S. Core CPI Inflation

U.S. Core CPI Inflation U.S. core CPI inflation is expected to be around 3% by the end of the first quarter of 2025. While inflation is expected to decrease, the changes are likely to be gradual and modest. Image: Deutsche Bank

U.S. CPI Inflation

U.S. CPI Inflation While U.S. inflation echoes the 1970s, different forces are at play. However, the prospect of 2025 tariffs and other economic policies warns against complacency. Image: Deutsche Bank

S&P 500 Earnings Yield Plus 10-Year U.S. Treasury Yield Minus CPI

Valuation – S&P 500 Earnings Yield Plus 10-Year U.S. Treasury Yield Minus CPI The current low yield environment for both U.S. stocks and bonds relative to inflation presents a challenging landscape for investors, prompting many to explore alternative investment strategies to achieve desired returns. Image: Bloomberg

U.S. Headline and Core CPI Inflation

U.S. Headline and Core CPI Inflation The latest inflation data for October 2024 indicates that U.S. inflation has remained firm, showing a slight uptick rather than continuing its irregular descent, suggesting that the Fed’s battle against inflation is not yet over. Image: Bloomberg

Contributions to Year-on-Year Headline CPI Inflation

Contributions to Year-on-Year Headline CPI Inflation The combination of declining contributions from key sectors like shelter and transportation is expected to lead to a notable slowdown in U.S. headline CPI inflation, reaching 2.2% by the end of 2025. Image: Goldman Sachs Global Investment Research

U.S. Core CPI Inflation

U.S. Core CPI Inflation In September, U.S. core CPI inflation showed a modest increase of 0.312% month-over-month, indicating that inflation pressures are not significantly escalating. Image: Nomura

S&P 500 vs. U.S. Economic Surprise – CPI Surprise

S&P 500 vs. U.S. Economic Surprise – CPI Surprise The improving economic surprise index and favorable macroeconomic conditions suggest that U.S. equities may better withstand inflation compared to previous cycles. Image: BofA Global Research