US disinflation and productivity growth

US outperformance is everywhere except Biden’s approval numbers

The US CPI came in hotter than expected in January. For all the hashing over the result, it was hard to go past the ex-shelter measure, which came in at 1.5% y/y compared to 1.9% y/y previously. Outside of housing, and owners equivalent rent in particular, the Fed looks done, although that does not in itself establish the basis for significant near-term Fed easing.