US inflation/PCE

The US Personal Consumption Expenditure (PCE) inflation print was very good.

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You can see where Paul Krugman (Nobel winner, famous econ commentator and academic) is coming from with his “inflation has been defeated” statements.

A somewhat watered down version: inflation has come down a lot, unemployment has moved up a noticeable amount, over the past year, & yet the cash rate is unchanged over that time.

That’s really the key bit, major progress on policy objectives has been achieved, time to move the cash rate lower.

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