Inflation – Which Way?

The October CPI update is out.

For the past year, the consumer price index is up 2.5%.

The Core CPI, which is generally less volatile, was up 2.2%.

US CPI – End of October 2018

So basically, we are about where the Fed wants inflation to be.

The challenge or concern of course will they be able to keep it around it 2% target rate.

With oil dropping significantly the last few weeks, lower gasoline prices should help lower future CPI readings.