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Rabobank: SPLAAAT - It Was The Kind Of Report That Make Data Great Again


by Tyler Durden
By Michael Every of Rabobank
SPLAAAAAAAAAT! That sound was the pure slapstick of a giant custard pie to the face. Which is what the US inflation numbers yesterday were to oh-so-many people. Massively higher than expected; the highest m/m headline since 2009 and the highest y/y since 2008; the highest core m/m print since 1982; much of this on the back of imputed and guessed prices; and not even properly accounting for what is now happening in energy and housing.
It was the kind of report, like Friday’s payrolls, that Make Data Great Again. One that also shows the whole economic number forecasting business is a silly game when it really matters. Yes, you can tell me what a number will be when that number doesn’t change anything: you just can’t tell me what the number will be when it changes ....

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