Overall prices, though, rose 0.3 percent. That put the
annual pace at 2.3 percent -- the fifth straight month that
prices gains topped 2 percent.
``The ironic thing is that people are looking at the core
rate' both in today's report and a producer price report Friday,
said Robert McHenry, a portfolio manager who oversees
international bonds at Hartford Investment Management Co., or
Himco, in Hartford, Connecticut. ``It's like saying if you take
out inflation, there's no inflation.'
Investors also questioned the accuracy of today's report,
saying it doesn't reflect the increasing costs of goods and
services they're seeing around them.
``People are now questioning whether CPI is measuring things
correctly,' said Patrice Milton, who helps invest $6 billion at
Bradford & Marzec Inc. in Los Angeles and is poised to sell
Treasuries on any rallies. She cited the fact that the report
said housing prices rose only 0.2 percent in the month, while
home resales are on pace to surpass last year's record.`
quote.bloomberg.com. |
