Inflation hits new 40 year high with report out July 13th. another on July 29

Relax, it's transitory.

 

No bueno

 

More bleeding. This stinks.

 

100 basis point rate hike coming?

 

Europe is about to hit a major energy crisis. The Euro is equal to the dollar which means they will lose buying power when purchasing American goods. Chinese banks are running out of cash and have frozen withdrawals. Inflation will remain high for the foreseeable future

*edit* I forgot to add the crisis on food due to the war which has driven up world prices

 

My brother, a state appraiser, just got a 30% pay raise after 10 years of tiny "cost of living" raises. Maybe corp etc., need to do what they did the last time we had high inflation, increase pay.

 

Big Corps are recording record profits as regular wages aren't keeping up with inflation. Purchasing power is down. Rent is skyrocketing. Housing is kind of cooling in spots. I've felt our economy was teetering for the last 10 months, and I'm definitely worried. I'm working on an exit strategy for something because I don't think I want to be committed to it much longer.

 

That’s actually surprising as some of the “real time” commodities pricing has come down, if not crashed
hard. In addition there were reports of retailers needing to start discounting a few weeks ago.

I don’t think the fed needs to get too much more aggressive as they’ve already kneecapped energy (despite real issues with geopolitics working against them) and the consumer is starting to buckle slightly. Most likely the official data just needs to catch up. I think everyone expects some more rate hikes, but they don’t need to get crazy.

 

I follow a lot of economists and other informed writers who have stated that all the leading variables are trending downwards. I will see as they analyze this data whether there is need to reconsider

 

I'm sure they will...what choices do they have but to be competitive in the job market, however, that will continue to drive inflation up.

 

If I recall from my old UF econ days, inflation had a pretty significant lag on it. I'm not sure if that is significant in these numbers

 

Copper is down 35% from it's peak in May and is supposedly a key economic indicator.

Here's how copper prices could signal an impending recession.

 

No clue on exactly how accurate they are. Data takes time to compile, though these are advertised as “June” numbers so in theory it’s supposed to be through June (maybe up for downward revisions when the next report comes out?). Cracks started appearing in June (I believe some of the reports of retail issues and discounting started getting reported in June), but energy and commodities maybe didn’t start crashing harder until July.

 

Let's go Bandon!

 

Kevin Drum’s preliminary analysis

Chart of the day: Inflation in June - Kevin Drum

 

Libs are in hardcore deflection mode. Lol.

 

So much winning.