Treasuries moved higher and the curve shifted flatter in response to the release of the FOMC minutes. September PPI came in as expected at 0.4% and the core reading, which excludes food and energy increased by 0.4%, 0.2% higher than expected. Approximately 80% of the increase in September was a result of higher gasoline prices stemming from the impact of Hurricane Harvey on the Gulf Coast. However, since the uptick in prices should move lower as gas production returns to normal.

Hafizan Hamzah
Director, Investment Management Group

Date Event Survey Actual Prior
10/10/2017 NFIB Small Business Optimism 105 103 105.3
10/11/2017 MBA Mortgage Applications -2.10% -0.40%
10/11/2017 JOLTS Job Openings 6125 6082 6170
10/11/2017 FOMC Meeting Minutes
10/12/2017 PPI Final Demand MoM 0.40% 0.40% 0.20%
10/12/2017 PPI Ex Food and Energy MoM 0.20% 0.40% 0.10%
10/12/2017 PPI Ex Food, Energy, Trade MoM 0.20% 0.20% 0.20%
10/12/2017 PPI Final Demand YoY 2.60% 2.60% 2.40%
10/12/2017 PPI Ex Food and Energy YoY 2.00% 2.20% 2.00%
10/12/2017 PPI Ex Food, Energy, Trade YoY 2.10% 1.90%
10/12/2017 Initial Jobless Claims 250k 243k 260k
10/12/2017 Continuing Claims 1930k 1889k 1938k
10/12/2017 Bloomberg Consumer Comfort 49.5 49.9
10/12/2017 Monthly Budget Statement $6.0b $33.4b
10/13/2017 CPI MoM 0.60% 0.40%
10/13/2017 CPI Ex Food and Energy MoM 0.20% 0.20%
10/13/2017 CPI YoY 2.30% 1.90%
10/13/2017 CPI Ex Food and Energy YoY 1.80% 1.70%
10/13/2017 CPI Core Index SA 253.017 252.54
10/13/2017 CPI Index NSA 246.933 245.519
10/13/2017 Real Avg Weekly Earnings YoY 0.90%
10/13/2017 Retail Sales Advance MoM 1.70% -0.20%
10/13/2017 Real Avg Hourly Earning YoY 0.60%
10/13/2017 Retail Sales Ex Auto MoM 0.90% 0.20%
10/13/2017 Retail Sales Ex Auto and Gas 0.40% -0.10%
10/13/2017 Retail Sales Control Group 0.40% -0.20%
10/13/2017 U. of Mich. Sentiment 95 95.1
10/13/2017 U. of Mich. Current Conditions 111.6 111.7
10/13/2017 U. of Mich. Expectations 85.3 84.4
10/13/2017 U. of Mich. 1 Yr Inflation 2.70%
10/13/2017 U. of Mich. 5-10 Yr Inflation 2.50%
10/13/2017 Business Inventories 0.70% 0.20%