{"id":5399,"date":"2022-06-02T16:21:34","date_gmt":"2022-06-02T16:21:34","guid":{"rendered":"https:\/\/gdpinc.com\/?p=5399"},"modified":"2022-06-02T16:47:45","modified_gmt":"2022-06-02T16:47:45","slug":"month-in-review-may","status":"publish","type":"post","link":"https:\/\/gdpinc.com\/2022\/06\/02\/month-in-review-may\/","title":{"rendered":"Month in Review: May"},"content":{"rendered":"\n
\u201dIt is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change.\u201d <\/p>– Charles Darwin<\/cite><\/blockquote>\n\n\n\n
Last week the market posted its best week of 2022 after seven straight weeks of losses, the longest losing streak since 2001. Through month-end, year to date, the S&P 500 was still down -13.04%.<\/p>\n\n\n\n
Inflation Update <\/strong><\/p>\n\n\n\n
In the prior week, we also got the April PCE data. The index measures price changes across a variety of goods and services. The broadest measure of prices which includes food and energy rose at a 6.3% year-over-year pace in April compared to a 6.6% year-over-year pace in March. While prices were still rising most were happy that the rate prices were rising had slowed some (6.6% annualized vs 6.3% annualized). The Fed measures inflation by looking at core PCE, that is PCE without food and energy prices. Food and energy are stripped out of the reading because they are often very volatile. This makes sense from a measurement point of view, but don’t lose sight of the fact that food and energy prices are extremely important to the health of the consumer and they have been rising rapidly since the start of the war. <\/p>\n\n\n\n