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Alviro Iskandar Setiawan@viro_ssfs@misskey.id (2026-08-18 12:32:36)
YoY the core excluding food and energy producer prices up 4.2%. If the Fed is targetting a 2% inflation and you've got producer prices rising YoY by 4.2%, you're nowhere near your 2% target.
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Alviro Iskandar Setiawan@viro_ssfs@misskey.id (2026-08-18 12:34:08)
This is forward looking because before consumers pay higher prices, the producers have to pay higher prices because they pass them on. So if you're seeing producer prices hotter than consumer prices, that's giving you a pretty good look at what's gonna be happening to consumer prices in the future.

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Alviro Iskandar Setiawan@viro_ssfs@misskey.id (2026-08-18 12:42:59)
But what is a lot more important to me is monetary policy and fiscal policy because that is the driver.