sonali: emily graffeo ao, thank you for your time.urning to the larger economic picture, new data confirms the initial cpi progress from the end of last year was progress. we are joined by the chief economist. when you look at the data, and pair it with expectations next week, how volatile can things get? >> they can get more volatile. the revisions did not do away with the downward momentum we saw last year. some economists were concerned about that. ahead of the cpi report, the expectation is a minimal rise on a monthly basis, giving at least the headline below 3%. perpetuating the notion we are on a sustainable disinflationary trend. but for the fed, thinking of patients against the backdrop of a very solid economy, they will need to see more than one additional month of improvement in terms of price pressures. sonali: what type of risk is there that there is reinflation in parts of the economy in the next report? >> one of the biggest risks stems from international factors. i don't want to oversell or overplay the impact of the na

emily graffeo, good to see you.ome depot shares are down after the company reported a fifth consecutive sales drop. what that says about the consumer. where they are spending and where they are not. this is bloomberg. ♪ katie: let's talk about home depot. shares are down after reporting weak demand. high mortgage rates and a slowdown in new homebuilding hitting sales. turning is now, we have drew running, bloomberg intelligence senior analyst for homebuilding. what we heard from management, do you think this is more about a tired consumer or a frozen housing market? drew: i think it has to do with both. results were pretty much in line with what we were expecting but there is a pretty low bar coming into the quarter. home depot continues to grapple with consumers who are pulling back on big-ticket discretionary purchases. thinking of categories like flooring, cabinets, countertops, and they are seeing relative strength in smaller projects. we are seeing bigger projects be deferred. if you go back to the laid -- the