- Weekly report notes key developments affecting backdrop for inflation in Canada, U.S. and globally
TORONTO and CHICAGO, Feb. 14, 2022 /CNW/ - BMO Economics has introduced its BMO Economics Inflation Monitor, a new weekly summary of developments affecting the outlook for inflation.
Released every Monday, the weekly report will monitor key news, announcements – both recent and upcoming – that have a bearing on the inflation rates and outlooks in Canada, the U.S. and other economies around the world. BMO Economics Inflation Monitor will serve as a convenient and accessible source of inflation news and analysis – representing one part of BMO's thought leadership on inflation and its economic impact, with more to come throughout 2022.
Today's report notes the implications of the U.S. consumer price index figures for January released on February 10, which represented the key inflation news from the past week.
"U.S. inflation hit a four-decade high, increasing the urgency for the Fed to hike rates – possibly sharply," said Priscilla Thiagamoorthy, Economist, BMO Capital Markets. "U.S. consumer prices climbed by a greater-than-expected 7.5 per cent year over year in January, while core prices rose 6.0 per cent. Both were the fastest since 1982."
The report also noted the University of Michigan's consumer sentiment report showing an uptick in one-year-ahead inflation expectations, the January NFIB survey showing net 61 per cent of small businesses hiking prices – the highest since 1974 – and WTI crude oil driving above $93/bbl given the escalation of Russia-Ukraine tensions.
Key announcements in the coming week include the announcement of Canada's Consumer Price Index for January on Wednesday, February 16.
The BMO Economics Inflation Monitor can be found at economics.bmo.com.
About BMO Financial Group
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of $988 billion as of October 31, 2021, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.
SOURCE BMO Financial Group