Since making that speech data has shown that growth was indeed weaker and also
inflation decelerated.
Overall
inflation decelerated after an energy induced sharp increase in April, while core inflation (excluding food and energy) increased slightly.
Meanwhile,
inflation decelerated from 2.0 % in 2012 to 1.2 % at the end of 2013 as did real final sales from +2.8 % at the end of 2012 to +1.8 % in Q313.
Not exact matches
Inflation eased to 1 percent in January, the slowest in 17 months,
decelerating from December's 1.5 percent and undershooting the 1.3 percent seen in a Reuters poll of economists.
What's again remarkable here is that core
inflation has been
decelerating while the unemployment rate has been falling sharply, and is now, at 5.3 %, within spitting distance of your full employment rate of 5.1 %.
Job creation, wage growth, hours worked, retail sales and core
inflation have all
decelerated.
Exports are now down 3.6 percent from a year earlier while both
inflation and industrial production are
decelerating, according to Bloomberg data.
Report says retail
inflation likely to moderate going forward and expected to
decelerate to 4.5 % by March 2017
But if the primary culprit were declining supply (as opposed to declining demand), one would expect to see
inflation accelerate rather than
decelerate.
The most widely followed
inflation measure, the consumer price index, has
decelerated from 2.5 percent
inflation in January to 1.9 percent.
In fact, realized
inflation is
decelerating: Core consumer prices, excluding food and energy, are down to 1.9 % year - over-year, the slowest rate since late 2015.
Most measures of
inflation have
decelerated and expectations for economic growth have softened.
The
decelerating inflation of recent decades has been especially good news for bond investors.