Moderating Shelter Inflation to Drive US Core Disinflation

The Economy

• Surging gas prices push US headline inflation higher, but core measure improves.
  
• The ECB hikes again but signals it hopes to be done.
  
• Canadian home sales softened.
  
• UK unemployment rate ticked up.
  
• Japan’s domestic machinery orders hit a record high.
  
• Australia’s employment data has a seasonality problem.

Spotlight On Next Week

• The Fed to hold rates and revise forecasts.
  
• The BoE to deliver another rate hike.
  
• BoJ to turn more hawkish but maintain policy.