You are here

US core inflation has room to fall: Goldman

GoldmanSachs250315.jpg
US core inflation still has room to decline from a stronger dollar and lingering effect from the recent collapse in crude prices, a Goldman Sachs economist wrote in a research note published on Wednesday.

[NEW YORK] US core inflation still has room to decline from a stronger dollar and lingering effect from the recent collapse in crude prices, a Goldman Sachs economist wrote in a research note published on Wednesday.

The core index of the government's consumer price index that excludes volatile food and prices will likely bottoming at 1.5 per cent in the middle of the year before gradually increasing in the second half of 2015, Goldman economist Kris Dawsey wrote.

He added the year-over-year rate on the core personal consumption expenditure, the Fed's preferred inflation gauge, will likely be 1.2 per cent in the second and third quarter before edging up in the fourth quarter.

REUTERS

sentifi.com

Market voices on:

grab

Receive $80 Grab vouchers valid for use on all Grab services except GrabHitch and GrabShuttle when you subscribe to BT All-Digital at only $0.99*/month.

Find out more at btsub.sg/promo

Powered by GET.comGetCom