US consumer inflation data was surprisingly firm in March, raising the stakes for tomorrow’s April report (Wed., May 15). Another round of disappointing numbers would arguably confirm that the recent disinflation trend is in serious trouble. No one can rule out that possibility, but I’m expecting we’ll see disinflation will return in some degree.

Continue reading →

* 1-year-ahead consumer inflation expectations increase to 3.3%: NY Fed survey
* New US tariffs on China raise tensions with Beijing
* US regulators OK changes to ease transmission of renewable energy
* Home Depot’s Q1 revenue below expectations but earnings outperform
* US small business sentiment ticks up in April but remains below average:

Continue reading →