Bill McBride — Key Measures Show Inflation mostly below 2% in May

Using these measures, inflation was soft again in May. Overall these measures are mostly below the Fed's 2% target (Median CPI is slightly above).

Low inflation with the unemployment rate also at historically low.

While the Seventies were characterized by stagflation in the US, 40 years later we have secular stagnation, "a condition of negligible or no economic growth in a market-based economy".

Calculated Risk
Key Measures Show Inflation mostly below 2% in May
Bill McBride