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The US Core CPI Rose Sharply By &Nbsp, Mainly Due To Clothing And Cars.

2011/7/21 9:05:00 35

Event: in July 15, 2011, the US Labor Department released CPI data in June. The report shows that CPI rose by 3.6% in June, 0.2% in the quarter than in the quarter, and 1.6% in core CPI (excluding food and energy), up 0.3% in the quarter than in the quarter.

The data are in line with market expectations.

CPI rose 3.6% in June compared with the same period last year, which is in line with market expectations.

The ratio fell by 0.2%. This is the first time the US CPI has slipped in a year, the former value has increased by 0.2%, and the core CPI has increased by 1.6% over the same period.

The increase was 0.3%, the increase was the same as last month, the largest increase in 3 years.

CPI

The main reason for year-on-year data growth is energy, food and housing.

In June, the US CPI rose 3.6% compared with the previous period.

From the contribution point of view, energy is 1.8254, food is 0.5084, housing is 0.3835, and the total of three is 2.7173, which can explain the CPI growth of 75.48% over the same period. It is obvious that energy, food and housing are still the main reasons for explaining inflation.

CPI ring data fell mainly from

energy

The sharp drop in prices.

CPI fell by 0.2% in June, the first time the US CPI has slipped in a year.

Energy prices fell by 1% in May and 4.4% in June, the biggest drop since 2008, leading to the first decline in the US CPI ring price in a year.

Gasoline prices dropped by 6.8% in June and 2% in May.

The main factors that increase core CPI are clothing and cars.

In June, the US core CPI rose 1.6%, up 0.3%.

In the core CPI rising factor, the price of new cars rose by 0.6% in June, compared with 1.1% in May. The rise in the two months may be due to the shortage of automobiles caused by Japan's earthquake. It is expected that after autumn, the shortage will obviously improve.

Clothing prices rose by 1.4% in June, the highest since March 1990.

Clothing prices also rose 1.2% in May, up 0.2% in April, and the rise in clothing prices may be mainly related to rising cotton prices and rising import clothing prices.

This is likely to be caused by high inflation in emerging markets.

In June, the average annual salary growth in the United States dropped to 1.9% over the same period last year. Since the Second World War, the average hourly rate grew by only two times less than 2%. At the same time, combined with the US non farm employment data which was much lower than expected in June, we can conclude that the US core CPI in June

Rise

The root cause lies in the lagging effect of the quantitative easing policy implemented by the Federal Reserve.

CPI will be slightly lower in the second half of the year, but will continue to operate at a high level.

As international oil prices have recently stabilized below the price range of this spring, gasoline prices have also declined. Japan's earthquake induced shortage of motor vehicles is expected to improve after autumn. The US PPI for the first time in June has fallen for the first time in a year. These factors will push down the overall CPI of the United States. However, due to the continued impact of the Federal Reserve's quantitative easing policy, CPI may still be running at a high level of over 3%.

CPI is expected to grow by 3.3%, 3.3%, 3.5%, 3.4%, 3.4%, 3.2% over the 7-12 months of June.