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14 Aug 2025

Revived US inflation fears

• US PPI. Much stronger than expected US producer prices rekindled inflation fears. US yields rose, as did the USD. AUD back below 1-month average.• AU jobs. Employment report broadly inline with forecasts. Unemployment hovering just above 4%. Supports the case for gradual RBA easing.• Data flow. China activity data due today. In the US, retail sales & industrial production out tonight. Data could generate more USD volatility. Global Trends There was a bit of a ripple across markets overnight on the back of resurfacing US inflation fears. US Producer Prices were much stronger than forecast with the 0.9% monthly...

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