Gary Thayer Revised Quotations

The personal consumption expenditure (PCE) price deflator was revised from 0.7 percent annual rate to 1.0. That's still very low, but it was revised upward instead of downward. There is possibly some building inflationary pressure, but it's still very benign.

Productivity numbers on a quarter-to-quarter basis are very volatile. The downwardly revised second-quarter numbers could easily be revised upward in the third quarter.

The good news is that the inflation number was also revised down slightly but is still running higher than we saw a year or so ago,