Having briefly slowed its inexorable rise in April – offering reawakened hope for the ‘transitory’ or ‘peak’ inflation camp – consumer prices were expected to continue accelerated in May (as energy costs soared). Consumer prices rose by a far larger than expected 1.0% MoM (significantly higher than the +0.3% MoM in April and the +0.7% Exp). That sent the YoY CPI to +8.6% – a new cycle high…
Source: Bloomberg
Headline CPI pushed to its highest since 1981 and has now risen for 24 straight months.
Core CPI offered no respite as it soars 6.0% YoY (worse than the +5.9% YoY exp)…
Source: Bloomberg
While almost all major components increased over the month, the largest contributors were the indexes for shelter, airline fares, used cars and trucks, and new vehicles. The indexes for medical care, household furnishings and operations, recreation, and apparel also increased in May.
Energy costs dominated the rise (the energy index rose 34.6 percent over the last year, the largest 12-month increase since the period ending September 2005)…
Source: Bloomberg
Amid the soaring food costs, Chicken, Eggs, Milk, and Cupcakes are screaming higher…
The picture is getting worse and the inflation is spreading (more red in the table below)…
The costs of putting a roof over your head is accelerating dramatically…
- Shelter Inflation May 5.45%, up from 5.14% in April and the highest since 1991
- Rent Inflation 5.22%, up from 4.82% in April and the highest on record
While the surge in goods costs is slowing, the costs of services are accelerating, no at their fastest pace sine 1991…
Source: Bloomberg
So, is this enough to force The Fed to falter? And will traders ‘buy the news’ anyway?
Finally, remember, always trust the officials…
Worst of all, real average hourly earnings fell 3.0% YoY – meaning that the rise in the cost of shit you buy is outpacing the rise in your wages for 14th straight month…
This is bad news for the Fed, and definitely bad news for the White House.
It is my sincere desire to provide readers of this site with the best unbiased information available, and a forum where it can be discussed openly, as our Founders intended. But it is not easy nor inexpensive to do so, especially when those who wish to prevent us from making the truth known, attack us without mercy on all fronts on a daily basis. So each time you visit the site, I would ask that you consider the value that you receive and have received from The Burning Platform and the community of which you are a vital part. I can't do it all alone, and I need your help and support to keep it alive. Please consider contributing an amount commensurate to the value that you receive from this site and community, or even by becoming a sustaining supporter through periodic contributions. [Burning Platform LLC - PO Box 1520 Kulpsville, PA 19443] or Paypal
-----------------------------------------------------
To donate via Stripe, click here.
-----------------------------------------------------
Use promo code ILMF2, and save up to 66% on all MyPillow purchases. (The Burning Platform benefits when you use this promo code.)
Gasoline jumped 10% just last week and does not appear to be slowing down. This is a commodity that many Americans use every single day and it affects the cost of just about everything we consume. Tighten your seat belts; rough roads ahead.
The funny part is I keep reading articles that state demand destruction after we reach $## price in gas – of course they seem to always be moving it ahead of where we are. I think we are already seeing demand destruction – anecdotally I know many who are tightening their spend including summer vacations being cut back or staycations alternatively this summer
I had to make an unplanned trip to town yesterday at 5:00pm and was surprised at the lack of traffic.
Ammo up. You may be on your own sooner than you think….
Gas Prices Are So High, Police Told to “Respond” to 911 Calls By Phone
According to Michigan County Administrator Nicole Frost, who spoke with the Detroit Free Press, the local sheriff’s office had already spent 96% of its fuel budget with three-and-a-half months still to go until the end of the fiscal year.
In one such instance, police departments in several Michigan counties have begun to implement a rather laughable policy in regards to policing. Several police departments in the state have informed officers to handle “whatever calls are acceptable” — by phone. Seriously.
As the Detroit Free Press reports, the Isabella County Sheriff’s Office announced this week that it is “feeling the pain at the pump,” and has “exhausted what funds were budgeted” for gasoline with “several months to go before the budget reset.”
https://www.blacklistednews.com/article/82713/gas-prices-are-so-high-police-told-to-respond-to-911-calls-by.html
Based on the events in Uvalde – what was already clear but now should be crystal clear after that tragic event we are already on our own as those sworn to protect and serve do their best to protect and serve their pensions and dental plans
wealthy, retired, and welfare people can easily cut back on their gasoline usage, leaving middle class workers (the people the WEF needs to destroy) to take the brunt of the cost effect .
wealthy and welfare people (due to gov and charity relief) will also fare better heating their abodes compared to the workers.
Living in the country, the response time is as little as 5 minutes and as long as 15, so we already know we have to provide the first line of defense.
Diesel is under $6 for the 1st time in weeks here. The high was $6.49 probably a month ago. I still can’t fill either vehicle without the pump maxing out and stopping.
It’s almost like some realized high diesel makes everything expensive, so while diesel goes down gasoline goes up.
We’re in for a long haul on high oil prices. Majors aren’t gonna drill because shale is a money losing investment. Most wells getting drilled are drill commitments in land and mineral rights contracts.
https://www.linkedin.com/pulse/rig-count-oil-price-ratio-lowest-history-harry-angell/?trackingId=uGkXB4afR7STv69rTwvLoQ%3D%3D
The majors discovered they can make profit no matter government policy, so I don’t think it has anything to do with profit anymore, but what policies they think they can affect.
I think all of the cheap oil has been found and going forward, it is going to just get more expensive to produce new fields.
Is this the part where the Fed comes out and mentions its just “transitory” again?
ETA – I think this is the beginning of a very deep stagflationary time (of unknown length)
And remember, the one thing that they cannot control are the statistics they provide.
Those you can trust implicitly.
Yer fergot the “/s”
You will lock yourself down ~ and you will be happy.
Real inflation is over 17% per how they measured it in 1981.
Not sure if the thing about cupcake prices rising was a joke or not. There are a couple of places in town that sell nothing but cupcakes and others that sell nothing but specialty donuts. I assume every city has the same – where people stand in long lines for the latest overpriced trendy specialized gastronomic treat. Along with craft beers and foodie restaurants that charge $20 for a scallop, I consider it all a sign of an empire in decline. As long as there’s such a thing as a cupcake restaurant, we have further decline to undergo.
Lunch at the pub the other day with buddy.
One appy, 4 beer, two burgers and fries. ~$100 before tip.
That same lunch was $55 2 years ago.
Probably my last meal out.
You ain’t seen nothing yet.
Just imagine what the numbers would look like with real random sampling and honest responses.
Would you trade reading mean tweets for an 8.6% raise? That’s the question that makes heads explode.
Vote harder next time, lol.
Report: India is Buying Up Cheap Sanctioned Russian Oil and Selling it to the U.S. and E.U. at Huge Profits
The US has reluctantly given India permission to buy Russian oil because India has threatened to ditch their alliance with America and ally with China if the US dares to sanction them.
While Americans and Europeans are being forced to pay record prices for gas as “the cost of standing up for freedom,” the free nation of India is buying oil from Russia for a whopping $35 off a barrel and selling it back to us in a hilarious arbitrage scheme.
https://www.informationliberation.com/?id=63128
Just think about that for a minute.
Why is it bad news for the White House? The Democrats know they can cheat with impunity in elections going forward now that the precedent has been set, so why would they be worried?
And the Fed doesn’t give a fuck. They’re unaccountable and suffer no consequences for their bad policies. Powell was just reappointed to another 4 year term as chair and he’ll never be impeached or removed.
I can’t read a CPI report without experiencing rage.
A $3 can of premium white meat chicken is a fraction of the cost of fresh chicken breast/tenders. Make chicken and dumplings, chicken ala king, coconut curry chicken, chicken salad etc.etc. Get creative with cheap alternatives now so you can live/eat happy later. We had Salsa Verde chicken this week made from canned W/M chicken that was REALLY excellent.
We did put extra steaks in the freezer cuz you can’t get a good steak out of a can. 🙂
“I got my EV”
“tough fuck for all of you”
~ Sen Debbie Stabenow – Michigan
spends 126 days a yr in DC cashing in $180K/yr and a monthly a stipend of up to $1K for car lease payments
That idiot still has to charge it and where I live it cost $45 go to 80% at $0.62c/Kw/h at a charger.
The battery is getting less and less distance each charge (6years old) Thank goodness is it summer so the battery lasts an extra 45 Minutes but come winter I expect the electricity prices must rise along with coal prices because solar costs and wind turbine degradation will ensure it.
I expect 90c/ kw/h charges I want to cry at the dumb things that were decided on my behalf without my consent.
Get of my lawn and out of our lives ! Please, you, Governments, keep making all our lives unlivable.
Now that Bidet has mandated E15, that means that 50% more corn goes to gasoline. Earlier this week, I paid 20¢/gal. less for non-ethanol 87 octane than E15 ($4.34 vs. $4.54). .