"Rent Is Too Damn High"
Jimmy McMillan, the political activist renowned for initiating the "Rent is Too Damn High Party" in New York, metaphorically received a "love letter" from the latest consumer inflation (CPI) report, just one day before Valentine's Day.
The current CPI publication shows a 0.3% monthly increase in seasonally adjusted prices, while the unadjusted index rose by 0.54%—significantly surpassing the January historical average increase of 0.40%. The annual inflation rate was recorded at 3.1%, marking a drop from the previous 3.4%. This reduction is partly due to the base effect, as the inflation rate for January of the previous year was 0.8%, thereby providing a more favorable comparison for this year's annual data.
Among the key elements contributing to inflation, Energy prices have decreased, yet the cost of energy services has continued to rise. The prices for used cars and trucks fell by 3.4%, while shelter costs, notably rent and a significant factor in the Consumer Price Index (CPI), increased by 0.6%.
The year end inflation expectation based on historical data moved up to 2.7% from 2.5% (cell highlighted in orange for December-2024). This development is an unwelcome shock for the financial markets and dashes hopes for a rate cut in March, unless the inflation data for February, set to be released before the March meeting, shows an unusually large drop. Given the high expectations, the markets were positioned to lose some of their recent gains due to this report.
Here is more info on Jimmy McMillan
https://en.wikipedia.org/wiki/Jimmy_McMillan
https://citylimits.org/2022/10/18/the-rent-is-still-too-damn-high-catching-up-with-jimmy-mcmillan/
Here the link for the inflation data