Below is a chart and brief excerpt from today's Early Look written by Director of Research Daryl Jones.
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On the topic of inflation, in the Chart of the Day today we focus on Rent Inflation. Specifically, the chart looks at the acceleration of rent price expectations 1-year ahead from the NY Fed. As of the August report, these expectations are sitting at a 9.99%. Will national shelter prices actually go up that much in the next year? Perhaps not, but at 1/3 of CPI they don’t need to go up double digits to continue to support sticky and high inflation. While the groupthink crowd has anchored on headline CPI decelerating slightly in August, we are literally not seeing or the prospects for inflation peak anywhere in the real world. |
