CPI Preview: Another Red Hot Print Made Even Hotter By Soaring Memory And One-Time Quirk

After a surprisingly tame March core inflation report, April CPI is expected to rise by 0.6% M/M in April (prev. 0.9%), while the core rate is seen rising 0.4% M/M (prev. 0.2%). Headline Y/Y is expected at 3.4% (prev. 3.3%) with core at 2.7% (prev. 2.6%). The range of MoM CPI estimates ranges from 0.8% to 0.4%.