May 11, 2017
Import & export prices surged higher yesterday as producer prices did today, both reports bouncing back strongly in April after an unusually weak March. The month-to-month swings seem to put inflation back on track and point to seasonal adjustment problems with this year's Easter shift which depressed March in favor of April. Tomorrow's consumer price report will offer one of the last pieces of the March-to-April inflation picture.
Stocks were little changed with the Dow posting a fractional loss to 20,919. Money edged into bonds as the 10-year Treasury yield fell several basis points to 2.39 percent. Oil, steady near $47.75, couldn't hold $48 after yesterday's big draw in weekly inventories.