Robert Hughes

“Industrial output rose in May and is closing in on pre-pandemic levels. However, substantial excess capacity still exists. While reopening the economy is boosting demand, incomes, and confidence, rising prices are a concern. However, a runaway inflationary spiral remains unlikely.” – Robert Hughes

“Retail sales fell in May with noticeable weakness among discretionary spending. However, solid consumer fundamentals suggest a positive economic outlook, despite some recent upward pressure on prices.” – Robert Hughes

“Consumer sentiment recovered some of the May decline in early June, driven by improving expectations for the economy, jobs, and income. However, fears of rising prices are also weighing on consumer attitudes.” – Robert Hughes

“AIER’s Everyday Price Index posted a sixth straight monthly increase, reflecting a wide range of materials shortages, logistical, supply chain, and labor problems. As these issues are worked out, price pressures are likely to ease.” – Robert Hughes

“Job openings soared to a new record in April, suggesting a tightening labor market.” – Robert Hughes

“AIER’s Leading Indicators Index remained solidly above neutral suggesting continued economic growth, but labor issues, materials shortages, and logistical problems are pressuring prices, drawing increased scrutiny for policymakers.” – Robert Hughes

“Payrolls posted a solid gain in May as the labor market recovery continues. However, there’s a long way to go and other fallout from the lockdowns including shortages and rising price pressures are tempering the favorable outlook.” – Robert Hughes

“The services sector expanded again in May, but shortages of labor and materials, a result of production constraints and logistical issues, are restraining capacity.” – Robert Hughes

“Light-vehicle sales eased back to the middle of the recent range in May. A semiconductor shortage is disrupting production and likely distorting sales, inventories, and prices.” – Robert Hughes

“Rising economic activity is driving a strengthening labor market and pushing unemployment benefit claims lower.” – Robert Hughes