IN THIS ISSUE:
Inflation Backdrop Remains Fed Friendly
· Inflation data this week showed that price pressures remain manageable. Finished goods producer prices rose 0.8 percent, but price changes were more muted further back in the pipeline. Import and export prices fell on soft global demand.
· Firms remain cautious about taking on new workers. The JOLTS job opening rate was unchanged in May, while the hiring rate ticked up but remained down from a year earlier.
· Small business confidence remains unable to break out of the low range of the current recovery. The NFIB index fell 0.9 points in June as firms pared back plans for inventories and sales expectations.
