Inflation & Oil Update
02/22/2006
The market was buoyed by
two events today. The Labor Department reported that its "core"
consumer price index, which excludes energy and food prices,
rose 0.2%. This was in line with forecasts, making it less
likely that the Fed will increase rates beyond the upcoming
March and May meetings.
Meanwhile, oil prices fell
$1.73 per barrel to $61.01. Many believe tomorrow's Energy
Department inventories report will show that oil stockpiles
have increased sharply due to the unusually high winter temperatures.
|
