People Are Not Inflation Idiots

Authored by Jeffrey A. Tucker via The Epoch Times (emphasis ours),

(BearFotos/Shutterstock)

Commentary

There’s something about employed intellectuals. When they are trashing popular wisdom and perceptions of regular people, they are truly in their element.

They love nothing better. It’s a way for them to show off their superior understanding, flash their credentials, and dazzle others with the merit of their time and expense in schooling. It justifies their social standing and income. And it assures their jobs.

Where would we be without them? Wallowing in ignorance, no doubt.

Continue reading “People Are Not Inflation Idiots”

“A Constant State Of Sticker Shock” – Here Is Proof That Inflation In The US Is Wildly Out Of Control

Authored by Michael Snyder via The Economic Collapse blog,

Do you believe the politicians in Washington or do you believe your own eyes? 

The politicians keep telling us that “inflation is low”, but everyone can see that everything sure does cost a lot more than it once did.  Our standard of living just keeps going down, and even JPMorgan Chase CEO Jamie Dimon is admitting that “inflation is hurting people”.  But how can inflation be “hurting people” if it is under control?  Of course the truth is that it isn’t under control.  If the official rate of inflation was still measured using the formula that was in place in 1980, it would be well into double digit territory right now.  Prices have been rising much faster than paychecks have, and that is putting an extraordinary amount of financial stress on the more than 60 percent of U.S. adults that currently live paycheck to paycheck.

Continue reading ““A Constant State Of Sticker Shock” – Here Is Proof That Inflation In The US Is Wildly Out Of Control”

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Raging Inflation Is Still Robbing Americans – and the Price Tag Will Shock You

Via Birch Gold Group

Raging Inflation Is Still Robbing Americans – and the Price Tag Will Shock You

From Peter Reagan at Birch Gold Group

It’s official: Inflation is easing up from the historic pace it reached back in June 2022.

The latest report from December 2022 has it running at “only” 6.5%. But even that is still running hotter than any month since the early 1990s.

You can see the last five years of inflation reflected on the line graph below. Note that I’ve added a green line indicating the Federal Reserve’s 2% target, just to highlight exactly how far away it is:

U.S. inflation rate over the last 25 years

Modified, original chart via Trading Economics

Naturally, this “inflation is under control” story is what the Biden administration is currently running with (as any POTUS would, from either side of the aisle). Specifically, on December 13th, the President announced:

We learned last month that the inflation rate came down, down more than experts expected. In a world where inflation is rising in double digits in many major economies around the world, inflation is coming down in America.

Unfortunately, that narrative isn’t telling us anything remotely close to the full story. Continue reading “Raging Inflation Is Still Robbing Americans – and the Price Tag Will Shock You”

US Households Lost Over $7,400 Under Biden

Guest Post by Martin Armstrong

I reported in September that the Heritage Foundation estimated that the average American lost $4,200 since Biden became president. Within only a month, their analysis for October revealed that the average family had lost an average of $7,400. Around $6,100 of the loss came from annual income, while interest rates cost the average American $1,300 annually. For the analysis to nearly double in the course of a month is alarming, and it is reasonable to suspect that losses will become steeper due to current policies.

Continue reading “US Households Lost Over $7,400 Under Biden”

The Average US Household Pays 47% More For Electricity Than A Year Ago

Authored by Mike Shedlock via MishTalk.com,

Natural gas prices are soaring and the price of electricity along with it. How much more are you paying?

CPI data from the BLS via St. Louis Fed, chart by Mish

Continue reading “The Average US Household Pays 47% More For Electricity Than A Year Ago”

FADING SMILE OF A DYING EMPIRE

“All that is human must retrograde if it does not advance.” – Edward Gibbon

“Woe, destruction, ruin, and decay; the worst is death and death will have his day.” – William Shakespeare, Richard II

We moved to our corner of Montgomery County, Pennsylvania twenty-seven years ago. We raised our three boys here. We spent hundreds of hours on local baseball fields, in hockey rinks, in school gyms for basketball games, concerts, plays and donuts-with-dads. It’s still a nice place to live, with virtually no crime, decent roads, and reasonable property tax rates. But I would have to say there has been a degradation in the overall quality of life in my community, which is consistent with the downward spiral of our society in general. When we planted our roots in this community it was still more farm-like than suburban. Family farms and open space were more prevalent than housing tracts, strip malls, fast food joints and cookie cutter commercial buildings. A beautiful farmhouse a few miles from our home, freshly painted white, proudly displayed the iconic yellow smiley face. It symbolized good times.

We’ve been driving on this road for twenty-seven years on the way to baseball games, hockey practices, the car dealer for service, and lately to our gym, as we try to fend off father time.  Driving by that barn in the early days would always brighten your day. A bright yellow smiley face against a white background represented a positive, happy view of the world.

Continue reading “FADING SMILE OF A DYING EMPIRE”

Worldwide Inflation in June 2022

Guest Post by Martin Armstrong

There is a common misconception that the United States has the highest rate of inflation in the world. I see it questioned in numerous emails The United States does have a major problem when it comes to inflation, but its currency has not depreciated to the point where it is weak. Let us compare data on inflation from other nations.

According to data compiled by Trading Economics, the following countries are suffering the most from runaway inflation as of June 2022:

Continue reading “Worldwide Inflation in June 2022”

IT’S NOT SAFE OR EFFECTIVE

Daily Dialogue — November 11, 2019 | by Scott Myers | Go Into The Story

Christian Szell: Is it safe?

Babe: I don’t know what you mean. I can’t tell you something’s safe or not, unless I know specifically what you’re talking about.

Christian Szell: Is it safe?

Babe: Tell me what the “it” refers to.

Christian Szell: Is it safe?

Babe: Yes, it’s safe, it’s very safe, it’s so safe you wouldn’t believe it.

Christian Szell: Is it safe?

Babe: No. It’s not safe, it’s… very dangerous, be careful.

Marathon Man debuted in 1976, so a majority of people have probably never seen this movie or this terrifyingly sadistic scene. Szell is trying to make sure his bounty of diamonds obtained from his days at Auschwitz are safe. Babe has no idea what Szell is talking about. He is just trying to survive. But Szell drills into Babe’s tooth until he hits a live nerve, generating excruciating pain, before Babe escapes and outruns his pursuers. That scene has always stuck in my brain, and it strikes me as having enormous relevance in the wake of events over the last two years.

Szell probes Babe’s mouth until he finds a cavity and jams his instrument into it causing tremendous pain. He then then puts oil of clove on the tooth and it relieves the pain. He then states, “relief is comfort”. That is a perfect analogy to this covid cavity scheme. The powers that be lockdown the world, destroying small businesses and putting tens of millions out of work, then throw some stimmies and unemployment payments at those they have hurt and say, “relief is comfort”. Then they proceed to drill into a live nerve as their next act.

COVID-19 Vaccine Clinic — Open Health Care Clinic

The term “safe” has been bandied about with reckless abandon by our overlords, as they have sold the world a false bill of goods with these mRNA poison injections. Whenever I hear their putrid propaganda spewed by some athlete, Hollywood liberal, MSM bimbo “journalist”, or paid off medical shill, that the vaccines are “safe and effective” it’s like Szell drilling into a live nerve in my tooth. I want to scream in terror and make a run for it. I think our beloved mass murderer – Fauci – fits the bill as the Szell character in this story of corruption, deceit, greed, murder, and obfuscation.

Continue reading “IT’S NOT SAFE OR EFFECTIVE”

US Consumer Prices Reaccelerate In May, Highest Since 1981

Via ZeroHedge

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.

Continue reading “US Consumer Prices Reaccelerate In May, Highest Since 1981”

Inflation has been pummeling the middle class for decades, but the out-of-touch CPI masks this reality

Guest Post by Eugene Ludwig

The ‘True Cost of Living’ index shows millions of low- and middle-income families don’t earn enough to buy necessities like shelter, food, and child care

For several years now, many of us have focused on the scourge of “fake news.” But much as we may blame avaricious social platforms and conniving public figures for driving widespread cynicism, we need to consider the role played by another more innocuous reality: misleading statistics.

Flagging confidence in both government and the mainstream media tracks decades in which official economic indicators—most notably those that purport to gauge the cost of living—have fundamentally failed to mirror middle-class reality.

Perhaps “fake” is too strong a term to describe the data-driven consumer price index (CPI), which serves as the U.S. government’s proxy for inflation. But the narrative the CPI has long burnished—namely that, since 2000, ordinary expenses have been fairly manageable amid rising wages—is entirely debunked by new research.

Continue reading “Inflation has been pummeling the middle class for decades, but the out-of-touch CPI masks this reality”

Stop Blaming Putin for Inflation

Guest Post by Martin Armstrong

The Consumer Price Index soared 8.5% in March year-on-year, according to the report released by the Labor Department on Tuesday. Prices have not been this inflated since Reagan was in power in December 1981.

Former Fed Chair Ben Bernanke set the target level of inflation at 2% back in 2012. Once the Federal Reserve began pursuing a 2% level of inflation in 2012, that standard was soon set as the target for numerous central banks across the world. This all changed when the world collectively agreed to stop spinning for the coronavirus. As you can see, median inflation in the US was declining prior to 2020.

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‘Pitchforks Are Coming:’ Iversen Predicts Public Unrest if Inflation Continues

Via Children’s Health Defense

Political commentator Kim Iversen last week on The Hill’s “Rising” warned of coming civil unrest if inflation and supply shortages continue while corporate profits soar.

Iversen and co-hosts Ryan Grim and Robby Soave skewered BlackRock CEO Robert Kapito for complaining of “an entitled generation that has never had to make sacrifices before.”

Iversen reported that U.S. corporate profits hit a record high in the fourth quarter of 2021, jumping 25%, even as the gross domestic product dropped 6.9%.

“So, what does this mean exactly?” she asked.

“It means,” she said, “inflation is good for big businesses, which upped their prices in response to supply and labor shortages and saw profit margins increase 25% to $2.94 trillion — the largest gain since 1976.”

Continue reading “‘Pitchforks Are Coming:’ Iversen Predicts Public Unrest if Inflation Continues”

White House Ignores Inflation to Promote Great Reset

Guest Post by Martin Armstrong

No one expected the recent 25-basis point rise in rates to curb inflation in a meaningful way. There are numerous variables contributing to this situation that are simply out of the Fed’s control at this point. The personal consumption expenditure price index (PCE) rose 5.4% in March on an annual basis. That is the most significant leap since April of 1983. Headline PCE spiked 6.4%, the fastest pace since January 1982, as gas and food costs are on the rise.

Continue reading “White House Ignores Inflation to Promote Great Reset”

BIDENFLATION

All of the charts below are from this morning. Those percentage changes are for today versus yesterday. I know the MSM and Biden want you focused on Putin, but you are about to be kicked in the balls when going to the grocery store, filling your tank, and heating your home. What has happened since the US/NATO provoked conflict in the Ukraine, is on top of the already 7.5% inflation (really 15%) we were struggling with.

By we, I mean the lower and middle class. The oligarchs and uber-rich don’t give a flying fuck about inflation. They even have their puppet Powell continue to keep interest rates at zero and printing billions per day to keep their bank accounts growing. The last time inflation was this high, Volcker raised rates to 20%.

Looking at these charts, knowing the Fed is doing nothing, should convince you we are approaching the end-game. When oil prices skyrocketed in 2008 and food prices rose, the global economy seized up, revolutions broke out in the Middle East (starvation makes people ornery), and global stock markets crashed. We are rapidly approaching the point of no return. Are you ready?

Continue reading “BIDENFLATION”

‘Arab Spring’ Risks Flourish As Global Food Prices Jump To Record High

Via ZeroHedge

Global food prices soared to a new record high in February, led by a massive jump in vegetable oil and dairy prices as well as higher costs for grains, according to the UN Food and Agriculture Organization (FAO). The move higher in food prices comes as the Russian invasion of Ukraine sent commodity markets into disarray, which indicates prices could continue to surge and may trigger another ‘Arab Spring’.

The FAO Food Price Index (FFPI), a measure of the monthly change in international prices of a basket of food commodities, averaged 140.7 points in February, up 3.9% from January, +24.1% compared with the same month last year, and 3.1% higher than the record in February 2011.

The largest mover in the index was FAO Vegetable Oils Price Index, up 8.5% over the previous month to a new record high, driven by palm, soy, and sunflower oils. The second-largest was the FAO Dairy Price Index, up 6.4% over the prior month. The FAO Cereal Price Index was +3%.

Continue reading “‘Arab Spring’ Risks Flourish As Global Food Prices Jump To Record High”