So far, bond markets seem to be responding to the higher jobless claims data. That is potentially a mistake for two reasons: Could be a lot of noise from Hurricane Helene. Algos haven’t yet been forced to adjust to the reality that the Fed, while heavily influenced by jobs data, is also going to have to watch inflation risks – see War, Inflation, and the Neutral Rate. CPI, while not alarming by any stretch of the imagination, is not completely comforting either. But while that data is in the past, what is coming up on the inflation front? Two potential ... More on Inflation