Friday, July 13, 2012

PPI up 0.1%, expected down 0.5%, Core up 0.2% as expected

Mortgage bond prices opened weaker this morning following the higher than expected inflation data. This erased the small gains from yesterday afternoon.

The producer price index rose 0.1%, higher than the expected 0.5% decrease. The core, which excludes volatile food and energy prices, rose 0.2% as expected.

We still have consumer sentiment data @ 10am et.

Stock futures are slightly higher.

News out of the euro zone is generally tame this morning. Italian officials are railing against another Moody's downgrade of Italy's credit rating. Concerns continue to grow in Spain regarding reports that Spanish banks are having difficulty staying capitalized. Turmoil abroad is generally good for U.S. debt instruments which are viewed as a safe-haven amid all global uncertainty.

No comments:

Post a Comment