Temporary energy price relief in July data masks underlying upward pressure that will likely resurface in August inflation readings, potentially supporting higher yields
Too little corroboration in the last 3 days to call a trend (2 articles). Watching for it to gain traction.
"KPMG Chief Economist Diane Swonk cautioned ahead of the release that the July relief may be temporary. Pump prices climbed through the second half of the month, she wrote on a post on X, but were offset within the survey period by declines in late June and over the July Fourth holiday. So the data could be disguising higher gas prices, with the Strait of Hormuz still largely closed. But more of that increase is likely to appear in the August data."
"KPMG Chief Economist Diane Swonk cautioned ahead of the release that the July relief may be temporary. Pump prices climbed through the second half of the month, she wrote on a post on X, but were offset within the survey period by declines in late June and over the July Fourth holiday."