The Consumer Price Index (CPI) rose 0.4% in April, following the 0.6% increase in March. Year-to-date, the CPI has risen at an annual rate of 4.8%
versus a 2.5% increase in 2006.
According to the Federal Reserve Bank of Cleveland, the median Consumer Price Index rose 0.2% (2.1% annualized rate) in April. The Cleveland Fed’s median CPI and 16% trimmed-mean CPI are measures of core inflation, based on BLS monthly CPI data.
Over the last 12 months, the median CPI rose 3.4%, the 16% trimmed-mean CPI rose 2.8%, the CPI 2.6%, and the CPI less food and energy 2.3%.
UPDATE: May 15, 2007 1:58pm
Despite the earlier CPI number, the 10 yr bond yield is at
its highest level in a month (US Treasury bonds are trading at the lows of the day).
The rumor circulating the street is that the Chinese are close to revaluing
the Yuan. To do this, the PBOC would buy a
X billions of Dollars and sell Y billions of Yuan in order to prevent the yuan from rallying above
its preferred "band."