NY Fed President Williams says some 'technical factors' distorted November's CPI reading downward
Williams said "technical factors" likely distorted November's inflation data, pushing the headline reading lower than it otherwise would have been.
TL;DR
- Technical factors distorted the October and early November CPI data collection.
- These distortions likely pushed down the reported CPI reading.
- The Bureau of Labor Statistics relied on non-survey data for the canceled October CPI report.
- Complications with rent and other categories contributed to the data distortion.
- December data is expected to provide a clearer understanding of the true inflation rate.
- Some sectors showed cooling price pressures, which Williams found encouraging.
- Economists may be cautious about interpreting the current report as evidence of a sustained downward inflation path.