Spending, Inflation, & More

Week in Review: Jan. 13-17

The federal law banning TikTok (unless it’s sold) is set to go into effect this weekend, but…on Wednesday, we learned that Trump will have TikTok’s CEO as an honored guest—seated on the dais—at his inauguration. On Thursday, we learned that Biden won’t enforce the ban, kicking the can to Trump. And then today (Friday), the Supreme Court upheld the law, requiring the ban to go into effect if TikTok isn’t sold. Where does TikTok go from here? I’d bet it’s still around this time next year…

TikTok aside, it was a busy week for economic data releases, with updates on retail spending, the critically important consumer price index, and more.

Monday

TSA Checkpoint Travel Numbers

Air travel volumes have slipped below 2024 and 2023 levels, according to TSA data. Chalk that up to severe weather and canceled flights.

Gas Prices & Diesel Prices

Gas prices inched down to $3.16/gallon this week. That’s low by recent standards, but prices should start rising over the next couple weeks (due to seasonal patterns). Diesel prices increased for the second straight week and, at $3.60/gallon, are at the highest level since October.

Tuesday

NFIB Small Business Optimism Index

Small business owner optimism rose to the highest level in six years in December. It’s abundantly clear that small business owners feel good about Trump’s agenda (and maybe just Trump in general).

Producer Price Index

This measure of inflation looks at changes in prices received by U.S. producers, and it came in cooler than expected. That’s good, even if this is relatively less important than consumer-facing measures of inflation.

Wednesday

Consumer Price Index (INFLATION)