In what is reportedly the first real test of the tariff terror pass-through impact on the average American, today's CPI print was expected to rise modestly following survey after survey suggesting the fecal matter is about is about to strike the rotating object... just like every mainstream media economist warned.

Higher Prices

• ISM Manufacturing prices expanded to 69.8, the highest since June 2022.

• ISM Services ticked up to 65.1 in April, the highest since January 2023.

• S&P Global US Manufacturing firms increased their output prices by the greatest degree since early 2023.

• S&P Global US Services prices advanced.

• Richmond Fed manufacturing showed prices received rose to 2.65 from 2.34 in March.

• New York Fed manufacturing prices received edged up to 28.7 from 22.4 in March.

• Philadelphia Fed manufacturing report showed prices received gained to 30.7 compared to 29.8 in March.

• Kansas City Fed manufacturing prices received surged to 29, up from 15 in March.

• Kansas City Fed non-manufacturing showed selling prices rose in April.

• Dallas Fed manufacturing outlook report showed prices received for finished goods advanced to 14.9, up from 6.3 in March.

• Dallas Fed services selling prices rose to 8.4 from 5.2 in the prior month.

• Chicago PMI showed prices expanded at a faster pace in April.

So what did we get?

A nothingburger... again... as headline and core CPI both printed below expectations.

Headline CPI rose just 0.1% MoM in May (+0.2% MoM exp), inching higher to +2.4% YoY (from +2.3% YoY in April)...

Source: Bloomberg