US consumer price inflation came in a fair bit stronger than expected in January, rising 0.6% month-on-month/7.5% year-on-year with core (ex food and energy) at 0.6%/6.0%. Consensus was for annual rates of 7.3% and 5.9% respectively. The last time we saw a higher inflation reading was February 1982 when it hit 7.6% and The J. Geils Band were riding high at the top of the Billboard Hot 100 with Centerfold. There was broad-based strength with food up 0.9% MoM, used cars up 1.5%, medical care up 0.7%, recreation up 0.9% and apparel up 1.1%. Owners’ equivalent rent was up another 0.4% MoM and this was one of the weaker ... (full story)