This is CNBC's Morning Squawk newsletter. Subscribe here to receive future editions in your inbox. Happy Wednesday. With yesterday's inflation data, I am once again reminded that my preference for beef over poultry is hurting my grocery bill. Stock futures are down this morning. The three major indexes are coming off a losing day. Here are five key things investors need to know to start the trading day:
1. Price check
A produce worker stocks shelves near romaine lettuce (top shelf, right) at a supermarket in Washington, DC on November 20, 2018. Andrew Caballero-Reynolds | AFP | Getty Images
The so-called "core" reading of December's consumer price index came in lower than economists expected yesterday, both on a monthly and yearly basis. The data is a double-edged sword: While it's a positive sign for shoppers hoping for price relief, the report might also give the Federal Reserve justification for not lowering interest rates again. Here's what to know: The closely followed core data, which removes volatile food and energy prices, showed a gain of 0.2% from November and 2.6% from a year ago. Economists polled by Dow Jones anticipated monthly and annual gains of 0.3% and 2.7%, respectively.
Items like coffee and lettuce put upward pressure on overall inflation. See the full breakdown here.
Investors said the cooler-than-expected core stats likely wouldn't be enough to push the Fed to cut rates at its policy meeting this month.
Traders don't need to wait long for the next round of inflation data: The producer price index, a gauge of cost growth for wholesalers, is due out at 8:30 a.m. ET.
Economists have pointed to President Donald Trump's tariffs as a driver of inflation. The Supreme Court's decision on the legality of many of those levies could be announced as soon as today.
Follow live markets updates here.
2. Industry
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