Please stay tuned for important disclosure information at the conclusion of this episode.

Hello and welcome to the Morning Filter. I'm Susan Jubinsky with Morning Star. Every Monday before market open, Morningstar Chief U.S. market strategist Dave Sikara and I sit down and talk about what

investors should have on their radars for the week, some new

morning star research, and a few stock ideas. Now, Dave and I are pre-taping this episode on the

morning of Friday, July 18th, so our comments don't reflect any news that may have happened on

Friday or over the weekend. And Dave, thank you for your flexibility on taping early so I could have some

extra family time with my kids this weekend. Appreciate it. Of course, Susan. I'm taking a little

time off myself, heading up to Canada to do a little fishing with my son and some other people,

so it's all good. That's great. All right, well, then let's kick off this week's episode with

your read on the inflation numbers from last week. and what these numbers may mean for the Fed's next move or lack of movement.

Yeah, so taking a look at CPI, it came in at a rate that was slightly faster than what had been in the prior month, but it did come in at least better than expectations.

Taking a look at some of the numbers here, our U economics team noted there is a little bit of tariff-induced inflation, but really not a meaningful amount at this point.

Now, PPI, on the other hand, did come in much lower than expectations, but either way, in

my opinion, I just don't think it's going to change anything about the way

the Fed is thinking right now. The Fed still expects that tariffs will at some point start

increasing inflation. And I think ideally they want to see clarity as far as what the trade terms

are, what the tariffs are going to be, you know, once all the negotiations are done before they

start making changes to monetary

policy.

From their perspective, I just don't think that they see any need, or at least most of the members

don't see any real need to make any near-term moves.

When I think about their dual mandate, you know, inflation is still a bit above target, but I

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