FED VOICESCOPE: CORE CPI IS MORE IMPORTANT TO THE FED

On 14 July, Nick Timiraos, the Fed, predicted that the fall in energy prices last month would lower the overall CPI in June. But for the Fed, the core indicators are now more important. It is expected that the core CPI will be close to 0.21 per cent (monthly rate) in May; then, the focus of the market will shift to PPI, and the PPI movement will inspire PPE。