Is inflation cooling? Probably not….

Though yesterday’s cooler than expected CPI is welcome news, we fear that it could be a one-off data point.

In all likeliness, the recently implemented tariffs will take several months to be reflected in the inflation data.

Given yesterday’s low volume (and therefore low conviction) rally, perhaps the market remains apprehensive about tariffs and inflation.

On a related note, we obviously hope that cooler heads prevail when it comes to the trade wars, but predicting politics is a fool’s errand. - Chris

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EVERYTHING DISCUSSED ABOVE IS JUST AN OPINION, AND NOT FINANCIAL/TRADING ADVICE. (Charts courtesy Bloomberg)