ISM Manufacturing Index vs. U.S. Core CPI

ISM Manufacturing Index vs. U.S. Core CPI This chart suggests that ISM Manufacturing Index leads U.S. Core CPI by 24 months. You may also like “ISM Manufacturing Index vs. S&P 500 Index” and “U.S. Core Inflation Expected Over the Next 21 Months.“   Click the Picture to Enlarge  

U.S. Core Inflation Expected Over the Next 21 Months

U.S. Core Inflation Expected Over the Next 21 Months This chart shows the U.S. core inflation expected over the next 21 months. It has been quite accurate for more than 20 years. M2 velocity year-over-year leads U.S. core CPI by 21 months (R² = 0.61 since 1996). You may also like “Where Does Inflation Come From?” and “How…

Why Is Core Inflation So Low Compared to Previous Business Cycles?

Why Is Core Inflation So Low Compared To Previous Business Cycles? The Consumer Price Index Less Food & Energy (Core CPI) is very low compared to previous business cycles in the US, for several reasons: – not fast-rising money supply – globalization: inflation is a global phenomenon – lack of wage acceleration – increase in…