French bank in Paris: US CPI report shows "worrisome signs"

Andy Schneider and Britney Jackson of the Paris Bank of France said in their research report that the April CPI report "shows more worrying signs than the overall data revealed." Year-on-year inflation slowed slightly from 2.4% to 2.3%. Schneider and Jackson stated that the monthly decrease in second-hand car prices is "unlikely to continue into May," while core commodity prices "remained strong," rising by 0.2% that month. They said, "In contrast, these categories had a monthly average increase of -0.02% in 2024," and added that household goods, medical care products, entertainment products, information technology products, and miscellaneous goods "all recorded relatively strong increases." They believe that "this may be the most obvious evidence yet that tariffs are beginning to impact consumer price data."