Key Highlights Inflation and Auto Pricing Headline inflation, according to the consumer price index (CPI), increased by 0.2% in August, as expected, with the core CPI, excluding food and energy, seeing a more-than-expected growth of 0.3%. Interestingly, new-vehicle prices remained stagnant while used-vehicle prices slid by 1%. On a year-over-year basis, core CPI remained at … Continued

Key Highlights August Job Growth In August, job growth reaccelerated modestly but fell short of expectations, reflecting a mixed performance across various sectors. Revisions and Trends Recent revisions to job numbers and broader trends highlight a more nuanced picture of the labor market’s recovery. Unemployment and Participation Rates The unemployment and labor force participation rates … Continued

Highlights: Gross Domestic Product (GDP) and Consumer Spending The GDP growth in the second quarter was revised up to 3.0% annualized from the initially estimated 2.8%. Personal Consumption The Personal Consumption Expenditure Index (PCE), the key gauge of inflation that the Fed follows, increased 0.2% in July, as expected, after increasing just 0.1% in June. … Continued

Highlights: Fed’s Rate Cut Anticipation Last week was a big week for gathering further insights into the Fed’s likely course of action in its next decision on monetary policy on Sept. 18. The notes from the July meeting were released, which indicated that the committee had already been leaning towards easing at the next meeting, … Continued

Highlights: Headline Inflation and Core CPI The July CPI report affirmed continued declines in year-over-year inflation to the lowest level since March 2021. Shelter drove 90% of the July monthly increase, and without shelter, inflation is under the Fed’s target. Furthermore, shelter is not going to improve with rates in restrictive territory as new construction … Continued

Highlights: New-Vehicle Average Transaction Pricing Despite slight variations, the average transaction price of a new vehicle remained statistically unchanged from June at approximately $48,401. This reflects a minor dip of 0.2% year over year, but overall, an impressive increase of 24.6% since July 2019. Incentives from manufacturers are also on the rise, gaining 9.1% in … Continued

Highlights: A Closer Look at the Job Market The job market in July saw a significant slowdown in growth. There were 114,000 new jobs created, far short of the anticipated 175,000. This resulted in an increase in the underemployment rate, the broadest measure of unemployment, which rose to 7.8%. This is 0.8 percentage points higher … Continued