INFLATION - HOVERING AROUND 8 - 8.5%; FED WATCH

Discussion in 'West Mall' started by Chop, Nov 30, 2021.

  1. Chop

    Chop 10,000+ Posts

    Now here's some good news (sort of...):

    Inflation is now down to 8.3% (from 8.5%)...


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    Inflation slowed in April after seven months of relentless gains, a tentative sign that price increases may be peaking while still imposing a financial strain on American households.

    Consumer prices jumped 8.3% last month from a year ago, the government said Wednesday. That was below the 8.5% year-over-year surge in March, which was the highest since 1981. On a monthly basis, prices rose 0.3% from March to April, the smallest increase in eight months
    .

    US inflation dips from 4-decade high but still causing pain
    US inflation dips to 8.3% but stays close to 40-year high –as it happened
     
    Last edited: May 12, 2022 at 9:21 AM
  2. Sangre Naranjada

    Sangre Naranjada 10,000+ Posts

    Who is that chick on the left? Was she famous at one time? I know I haven't seen her in the news for quite a while. Has the media ghosted her, or memory-holed her (get your minds out of the gutter, you know what that means) for some strange reason?
     
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  3. Chop

    Chop 10,000+ Posts

    I think she had something to do with Willie Brown or something…
    It must suck to be her.
    She blew her chance.
    At least she licked inflation.
    It was hard.
    It’s a lot to swallow, so they say.
    She’ll go down in history,
    driving a Hummer,
    with her friends Neal and Bob,
    Going camping with Willie—who pitched a tent.
    Stopping at the 7-11 for a Slurpee and a Big Gulp.
    Maybe she prays a lot—she was on her knees.
     
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    Last edited: May 11, 2022 at 2:27 PM
  4. mchammer

    mchammer 10,000+ Posts

    At the end of the day, it impacts prices in a pipeline. Besides QT is starting in weeks.
     
  5. Monahorns

    Monahorns 5,000+ Posts

    I saw the April number did tick down a bit, but we will see if that consists.

    You do know Powell has been talking about QT for a year and he still hasn't started, right?
     
  6. mb227

    mb227 5,000+ Posts

    The number ticked down but was still higher than anticipated. AND it did not take into account the new spike in gas prices across the past week...

    This is NOT getting better anytime soon...the best MOST can hope for is to see a leveling somewhere in the near term. Well, that and hoping that they don't need to retire anytime soon since the funds have taken a massive hit courtesy of the policies of President Brandon...
     
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  7. Chop

    Chop 10,000+ Posts

    I don't know what will happen, but I think we may plateau off for a bit. Maybe in the 8's, maybe in the 9's or 10's. When inflation finally does come down in earnest, it may go down and hang around 4-5% (which is ok). I doubt we'll see the 0-2% inflation for a very long time.

    More shocks in the energy markets could throw that off and send us deep into the teens.

    This is wrt general inflation. Food inflation may stay above 10% for a while.
     
  8. bystander

    bystander 10,000+ Posts

    They have blamed Trump and are so sick that they sleep well on that.

    And yes, when it drops, they will take full credit and their emotionally challenged serfs will applaud loudly.
     
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  9. theiioftx

    theiioftx Sponsor Deputy

    Fuel prices held tight or dropped slightly during that period. They have since jumped again so the next report will be back up.
     
  10. HornHuskerDad

    HornHuskerDad 5,000+ Posts

    Even with the miniscule reduction in the inflation rate, it's still much too high. Anyone on a fixed income (such as retirees) is really feeling the pain. And the Biden Administration doesn't seem to care.
     
    • Agree Agree x 1
  11. mb227

    mb227 5,000+ Posts

    It is not that they don't SEEM to care. They flat DO NOT care.

    And I could not help but to notice that KJP has the same annoying feature of laughing or snickering when she does not know how to answer a question...something which appeared again yesterday when she was asked about the baby formula shortages.
     
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  12. Chop

    Chop 10,000+ Posts

    I think that, globally, food inflation has a long ways to go up. Fertilizer shortages, and the Russian + Ukrainian wheat/grain exports going off line, can really drive up global food prices. The Middle East relies heavily on Russian + Ukrainian wheat/grain exports.

    Oh yeah, when the price of tires or ball point pens go up, people may gripe about it. When they run out of food, or when food prices get unaffordable, governments topple.

    Fortunately, the Middle East has a long history and tradition of stable governments... :rolleyes1:
     
  13. Monahorns

    Monahorns 5,000+ Posts

    Abolish the Fed and it would come down to a healthy level 0%.
     
  14. Chop

    Chop 10,000+ Posts

    US stocks end mixed after another day of erratic trading

    Trading on Wall Street has been volatile, with indexes prone to sharp swings from one day to the next, or within a single day, as investors try to shield their portfolios from the impact of the highest inflation in decades and rising interest rates as the Federal Reserve moves to tame surging prices.

    Another dire readout on inflation sparked a wave of selling early Thursday, with technology stocks weighing down the S&P 500 index the most. The sector made solid gains during the pandemic amid a broad shift to working and shopping from home, but it has seen sharp declines as inflation worsens and interest rates head higher. Apple and chipmaker Nvidia each fell 2.7%, while Microsoft dropped 2%.

    “The pullback in growth stocks, tech in particular, has been dramatic,” said Brian Price, head of investment management at Commonwealth Financial Network. “We have a reckoning, if you will, that maybe we did go too far too fast” with many of those stocks.
     
  15. Chop

    Chop 10,000+ Posts

    https://www.cnbc.com/2022/05/12/wha...lation-costs-families-extra-311-a-month-.html

    So that's $3,732 per year less in disposable income.

    Less disposable income at the middle and lower ranges of households means less low-and-mid-range entertainment, restaurant eating, movie going, etc. Also, downgrades: beef-to-chicken, nice restaurant to not-so-nice restaurant, good hotel to so-so hotel, premium gas to that 87 octane junk, etc. Providers of the middle level of things may be hit hardest, as the middle shifts to the lower-middle, the lower-middle shifts to the lower, etc. I would think luxury and high end goods have some protection from this, although many of the higher end families may be taking some serious hits in their portfolios.

    This year, the Griswolds will be staying at Motel 6's instead of La Quintas on their vacation.
     
  16. Chop

    Chop 10,000+ Posts

    Here's a little gem from the same CNBC article...

    "Consider taking on temporary side gigs, such as freelancing or tutoring, or even asking your manager for more assignments for increased pay ..."

    [translation-- "Get a 2nd job and quit yer b!tching, peasants..." :smh::smh::smh:]

    What's next -- send the retired folks on fixed incomes back to work in fast food...?!?!?!?


    I guess at CNBC, it's....

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    https://www.cnbc.com/2022/05/12/wha...lation-costs-families-extra-311-a-month-.html
     
    Last edited: May 12, 2022 at 5:07 PM
  17. mchammer

    mchammer 10,000+ Posts

    This tweet suggests the source of inflation was fiscal, not monetary.

     
  18. Monahorns

    Monahorns 5,000+ Posts

    #1, monetary inflation always produces price increases. We have had historic levels of $s created out of thin air in 2020 and 2021.

    #2, the Fed is the culprit trying to cover their tracks. End the fed and inflation by and large goes away.
     
  19. Facing Addiction

    Facing Addiction 100+ Posts

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