Economists polled by the Wall Street Journal expect US September CPI +0.6% MoM,
+3.6% YoY; core CPI excluding food and energy forecast +0.2% MoM, +2.5% YoY.
Tony Rodriguez, head of fixed-income strategy, said overall inflation
will clearly rise driven by energy. "We have not yet seen this pressure transmit
to core inflation, but the worry is that if this persists another two quarters
it will begin to transmit to food and goods," he said. Rodriguez added that a
0.2% monthly rise in core CPI is not "large" but is enough to keep inflationary
pressure alive and to continue to pressure the Fed to respond.
