Consumer prices rose slightly in August; update on SIF
On a seasonally-adjusted basis, overall consumer prices rose 0.1 percent with the Bureau of Labor Statistics reporting the overall consumer price index (CPI) grew by 8.2 percent over the 12-month period. NAFCU Chief Economist and Vice President of Research Curt Long analyzes the data in a new Macro Data Flash report.
“While gas prices declined by 10.6 percent and dominated news headlines, shelter, food and healthcare costs continued to rise,” said Long. “The cost of shelter rose 0.7 percent in August, which is the highest monthly growth rate in over 30 years.”
Energy prices fell by 5.0 percent during the month. From a year ago, energy prices were up 23.9 percent. Additionally, food prices climbed 0.8 percent in August and are up 11.4 percent compared to this time last year.
“Food price growth fell slightly to its slowest pace of 2022, but it still registered a sturdy +0.8 percent,” noted Long. “Stripping out food and energy, core inflation growth accelerated to 0.6 percent in August.”
Year-over-year core CPI growth was 6.3 percent.
"Where a day prior to the release there was still a minority of market participants expecting a 50-basis point hike from the Federal Reserve next week, that bet evaporated with this report. NAFCU’s expectation of a 75-basis point hike remains the median market view, and there is even an outside possibility of a full percentage point hike,” concluded Long.
Additionally, Long gave an update on the NCUA’s Share Insurance Fund (SIF) at NAFCU’s 2022 Congressional Caucus yesterday. Long noted the recent volatility of the fund over the last couple of years, but said he expects to see stable share growth in the coming years with the SIF equity ratio holding near 1.26 percent.
See the full lineup for today at Caucus and find the agenda here, and follow along on Twitter with #NAFCUCaucus for live event updates. For more up-to-date economic updates from NAFCU's award-winning research team, view NAFCU's Macro Data Flash reports.
Add to Calendar 2024-02-28 09:00:00 2024-02-28 09:00:00 Navigating the Threat of Social Engineering and Misinformation Listen On: Key Takeaways: [1:01] What is threat intelligence, and why is it important to CUs? [2:14] What are threat intelligence feeds, and what role do they play in strengthening CUs? [4:41] Leveraging threat feeds and integrating intelligence into tools is crucial. [6:35] Learn what threat CUs should be most concerned about. [7:39] Phishing is ever-evolving, and user awareness is critical. [10:43] Learn how Defense Storm uses feeds to protect its customers. [13:28] Threat intelligence is not as complicated as some think; initiation can be easy through Slack, discussions, and a reporting culture. Web NAFCU firstname.lastname@example.org America/New_York public
Add to Calendar 2024-02-27 14:00:00 2024-02-27 14:00:00 Risk Management & Modernization: Bridging the “GAP” on Refunds About the Webinar Join Allied Solutions’ John Elias and Peter Krall as they provide timely insights into the regulatory landscape, and strategic approaches to navigate the complexities of refunds on VPPs like that of GAP waivers on vehicle loan servicing contracts, ensuring compliance and maintaining a commitment to members' financial well-being. Key takeaways: Market conditions and insights into regulatory oversight Innovations for future-proofing your credit union by mitigating refund-related risks Market projections and implications Register Here Web NAFCU email@example.com America/New_York public
Consumer Lending, Indirect Lending
Triad Financial Services
Add to Calendar 2024-02-22 14:00:00 2024-02-22 14:00:00 Retaining Key Positions During Mergers and Acquisitions About the Webinar Previously credit union merger and acquisition activity was more on the acquisition side, with a larger credit union acquiring a much smaller credit union. While this is still taking place, we’re starting to see more mergers of equals where two sizeable credit unions are unifying into a much larger credit union. This poses both retention opportunities and risks within the leadership team. This webinar explores strategies to retain key positions during a critical time. Identify retention risk and impact in current and future leadership positions Assess retention risk and impact to operations Learn about potential retention expenses before and after the merger Register Here Web NAFCU firstname.lastname@example.org America/New_York public
Get daily updates.
Subscribe to NAFCU today.