US producer price index data will refocus the market on inflation | investingLive

Tariffs and uncertainty have so far hit employment but there could be inflation in the pipeline as companies draw down on inventories and try to preserve margins.

The good news is that oil prices are low and likely to be lower if OPEC continues to add barrels. That could help to offset input pricing pressures.

We should get some clues today at the bottom of the hour with August PPI. The consensus is a steady 3.3% rise y/y and 3.5% excluding food and energy. The report might offer some hints on inflation ahead of tomorrow’s all-important CPI reading.

Otherwise the US economic calendar is quiet, with weekly US oil inventory data to come at 10:30 am ET and a 10-year Treasury auction at 1 pm ET.