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Traders are pricing in annual U.S. consumer price gains of 7% or higher for the next four months

Traders are pricing in annual U.S. consumer price gains of 7% or higher for the next four months

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Traders have ratcheted up their forecasts for U.S. consumer price inflation over the next few months, and now see annual headline figures coming in at 7% or higher into early next year. So-called “fixings,” which trade as derivatives on the likelihood of where future consumer price index levels will land, are at levels that imply headline year-over-year CPI prints of 7% in November and 7.3% each month from December through February, said Tim Magnusson, partner and senior portfolio manager at Garda Capital Partners LP in Minneapolis.

...read full article on Market Watch

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