Inflation remains an issue

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No relief from August inflation.
Welcome to the Know the Difference Minute for Tuesday, September 13th.
Even though falling gasoline and other energy prices were expected to bring down August inflation, that’s not what we saw with the latest Consumer Price Index reading. Food. Rent. Medical care. All rapidly rising.
Core inflation is a less volatile reading that strips out energy and food—it came in at 7.4%. That’s a problem. Even with gasoline down over 10%, consumers are getting nailed on all sides, especially at the grocery store. The Dow was down 1276 points.
After July’s reading, there was hope for a soft landing without much economic distress. Attention now pivots to next week’s Fed meeting where the rate hike could range between 75 and 100 basis points. That raises the risk the Fed has made a recession-causing mistake as it attempts to throttle inflation.
As I’ve said, portfolio positioning matters.
I’m Dave Spano from Annex Wealth Management. That is your Know the Difference Minute.