U.S. consumer price inflation likely accelerated marginally year-on-year in January
The U.S. consumer price inflation data for the month of January is set to release tomorrow. According to a TD Economics research report, the headline inflation is expected to have been tempered by lower gasoline prices. The inflation is likely to have come in at 0.1 percent sequentially in the month.
Gasoline prices fell around 0.6 percent sequentially. In spite of the weak monthly growth, the year-on-year rise is expected at 2.4 percent, a slight acceleration from 2.3 percent in December.
“Our core CPI forecast is near the recent trend, but the y/y figure will likely drop to 2.2 percent from 2.3 percent if the m/m change is less than 0.24 percent; we forecast 0.23 percent”, added TD Economics.