Goldman Sachs forecasts a 0.11% increase in May CPI and a 0.25% rise in Core CPI, with year-over-year rates at 3.36% and 3.50% respectively. Bank of America predicts a 0.1% monthly increase in headline CPI and a 0.3% rise in core CPI for May, keeping the year-over-year rate at 3.6%. Consumer spending remains stable, with total card spending per household up 0.7% year-over-year in May, following a 1.0% increase in April.
Consumer spending is still benefiting from the extra padding bank balances got during the pandemic, according to Bank of America. https://t.co/GujuJbjwYe
Bank of America's Consumer Checkpoint shows spending was up 0.7% in May YoY. BofA Institute's Liz Everett Krisberg shares the data and talks consumer trends. https://t.co/Mvcy7YyxFG
$BAC: "...overall consumer spending momentum has largely remained stable this year. In May, retail spending growth, though still negative, reversed course to trend upwards, and while services spending growth eased back in May, it remained positive" https://t.co/GnL1VBJ3h7
BofA: We are expecting retail sales ex-autos to increase by 0.3% in May, which would leave the three-month average growth rate little-changed https://t.co/cagH177Fbk
BofA: Card spending was weak in many categories in May https://t.co/tQiqHUVAhZ
This week's main market topics Wednesday: May CPI release. Consensus expectation is a CPI of 3.4% yoy (+0.1% mom) and Core CPI of 3.5% yoy (+0.3% mom). CPI is expected to remain unchanged vs April (3.4%) while Core CPI is expected to decrease by -0.1% (from 3.6%). Thursday: May…
According to BofA internal data, total card spending per household was up 0.7% YoY in May, following a 1.0% YoY increase in April. 'Consumer spending momentum continues to appear soft but stable.' 'The gap between older and younger generations' spending growth has narrowed.'… https://t.co/ci49psyHwR
"Consumer spending momentum continues to appear soft but stable. According to Bank of America internal data, total card spending per household was up 0.7% year-over-year (YoY) in May, following the 1.0% YoY increase in April." https://t.co/cMvHlEDtIb
BofA: For the May CPI report, we forecast headline CPI rose by 0.1% m/m (0.13% ungrounded), we expect core CPI increased by 0.3% m/m (0.30% unrounded) leaving the y/y rate unchanged at 3.6% y/y. https://t.co/OtZwYrLUUV
Our Core CPI Forecast Is Consistent with a 0.19% Increase in Core PCE in May Goldman https://t.co/YyRw8L41Di
Goldman: We Expect a 0.25% Increase in Core CPI in May https://t.co/LytllKQzvB
Goldman sees May CPI +0.11%, Core +0.25% yoy 3.36%, 3.50% https://t.co/yZgIC7WA6X