For a change, we get to see producer prices first this month (before tomorrow's CPI extravaganza). While central bankers are sure this resurgence is a blip - a transitory rebound on the way to 2% - analysts are far less convinced with expectations signaling a big jump in inflation in December data.

Analysts were right on direction but not on magnitude as headline PPI rose 0.2% MoM (+0.4% exp), pulling the YoY PPI up to +3.3% from +3.0% prior (but below the 3.5% exp) - the highest since Feb 2023...

Source: Bloomberg

Core PPI was unchanged MoM, leaving the YoY Core PPI flat at +3.5%...

Source: Bloomberg

With December's data in the bag, we can take a look at the Biden administration's disastrophe.

Under Biden, producer prices rose a triple the pace they did under Trump...

Source: Bloomberg

And finally, as a nice parting gift for the Trump admin, Biden has launched the toughest sanctions yet on Russian crude imports, sending oil prices soaring and implying a notable jump in underlying inflation (after months of energy driving deflation)...

Source: Bloomberg

Can Trump's 'drill, baby, drill' policies counter this overseas supply threat?

Judging by Small (and Large) business confidence...

Source: Bloomberg

...they seem convinced the economy will be ok.