CNBC Daily Open: Investors might not want to take U.S. inflation numbers in November at face value
The U.S. inflation numbers in November looked encouraging, with annual headline rate coming in 0.4 percentage points less than expected. But it's noisy.
TL;DR
- November's U.S. inflation report was released with data collection issues due to a government shutdown, impacting historical data and potentially leading to inaccuracies.
- Concerns were raised about how housing inflation was calculated, with suggestions that zero inflation might have been applied in some cities.
- Investors celebrated the inflation numbers and a surge in Micron shares, leading to a rebound in U.S. stock indexes.
- Japan's central bank hiked its benchmark rate by 25 basis points to 0.75%, the highest level since 1995.
- European central banks made expected interest rate decisions: the European Central Bank, Norges Bank, and Riksbank held rates, while the Bank of England cut rates.