US CPI inflation data likely to support the Fed’s ‘no rush’ view

US March CPI inflation data (08:30 ET, Friday) will be monitored closely for clues about the timing of the first Fed rate hike. 

In a 15 April interview, Fed Vice Chair Stanley Fischer said the Fed would like to see growth accelerating, the jobless rate on a firm downtrend and signs of inflation heading towards the 2% target before tightening policy, remaining vague about the timing. 

"More than headline inflation, core CPI inflation data will likely be in focus: we expect a tepid 0.1% m/m (1.6% y/y), below consensus expectations of 0.3% after 0.2% m/m in February (1.7% y/y). Our and the consensus view is for a 0.3% m/m headline pick-up from 0.2% prior as gasoline prices edged up slightly", Says Standard Chartered

The Michigan consumer sentiment index will also be released Friday (10:00 ET).