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US: Inflation to slip to 1.8% y/y - TDS

Analysts at TD Securities suggest that the US headline CPI will be weighed down by further weakness in energy prices throughout December, with TD looking for inflation to slip to 1.8% y/y with prices down by 0.2% on the month.

Key Quotes

“Core inflation should hold stable at 2.2% y/y, reflecting a 0.2% increase in the index although the risks are tilted towards the downside on weaker vehicle prices and mean reversion in medical services.”

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