The Consumer Price Index (CPI) offered a glint of positive news and the markets rejoiced. The Annual increase in the Core CPI dipped from 3.3% to 3.2% which was enough to alleviate the building concern the FOMC might actually increase the Funds rate in 2025, rather than lower it as noted last week. “ Since mid September when Treasury yields bottomed and the FOMC lowered the Funds rate by 0.50%, the 5-year breakeven inflation rate has increased from 1.86% to 2.55% on January 13, 2025. With the economy chugging along at 2.5%, inflation not falling in the last 6 months, and the prospect of...