Home Magic? US Inflation Cools To -0.1% In December, 6.5% Year-over-Year YoY (REAL Weekly Earnings NEGATIVE For The 21st Straight Month At -3.1% YoY)

Confounded Interest ^ | 01/12/2023 | Anthony B. Sanders

[Kaiser8408a]

I don’t think this is a record that Biden can run on for re-election: 21 straight months of NEGATIVE REAL WAGE GRWOTH. Fortunately for Fed Chair Jay Powell, he is not an elected official.

The December inflation report still shows elevated inflation in the US, but only -0.1% since November (MoM), but still high compared to last year (6.5% YoY). That is still over 3x The Fed’s target inflation rate of 2%.

While headline inflation fell to 0.1% MoM, CORE inflation (removing food and energy) rose again 0.3% MoM and 5.7% YoY.

At 6.50% YoY headline inflation, the Taylor Rule suggests a Fed Funds Target rate of … 13.13%. Well, I guess that Powell will say there is more rate hikes to be done.

As if The Fed follows any sensible rule. Instead, The Fed relies on magic tricks.

[Kaiser8408a]

Only Biden could be elected with 21 straight months of negative wage growth ... though fraud.

[Leep]

He is.. WAS? .. the most popular elected President ever.

The people have spoken ..as long as they get their free stuff the president could be a 3 time loser ..half century government hack ..pervert and corrupt.

[adorno]

6.5% inflation over December, 2021.

Last year at about the same time, we were experiencing inflation of around 7% over 2020.

So, if inflation is cumulative, isn’t the current month’s inflation rate 13.5% over 2020?

[KC Burke]

It is just an anomaly in how the statistics are gathered each month and compiled. Over a year statistics mean something, but Christmas and year-end can have a small factor that will throw off one month.

Likewise, we know that these statistics, like unemployment, have been doctored in how they are measured. We can all just look at our fuel and utility costs as well as our grocery costs for the last two years and see that prices have gone up 50% from what they were when the election was stolen.

In fact I like that qualifying term: “From the Stolen Election.” I think that should be used as a modifier in many paragraphs.

[allendale]

The price of gasoline has declined thanks to the Russians selling their oil at a 40% discount which has lowered the world price of crude. The embargo is very porous. Also crude prices are down because worldwide economic activity has lessened lowering demand. As a corollary, trans oceanic shipping costs have declined considerably as demand for shipping and actual cargoes have also decreased. In short less wealth is being produced and its being chased by printed dollars.

[Bon of Babble]

I was in my local grocery store yesterday, a major, well known, national chain.

I couldn’t find some of the things I needed, the shelves were empty of those items, a number of them.

My bill when I checked out was outrageous - I am not extravagant and there are only two of us.

I KNOW this is government created - the shortages and inflation.

This should end the career of any/all Democrats all the way up to POTUS, the American people should be absolutely outraged by this and many other government policies.

When this happened during Jimmy Carter’s admin, the American people soundly rejected and humiliated him when he was up for re-election - and rightly so. But that was a different era.

How many stupid, brainwashed people will continue to vote for the same idiots that caused this?

[Bon of Babble]

The price of gasoline has not declined in California - we are still paying $4.29/gallon in So Cal - and that’s up 10 cents from last week.

This is due to incompetent California governance headed by Gavin Newsom, stupid people who continue to vote for him in a landslide and stupid voters who, in the last election, rejected elimination of the latest gas tax.

[CatOwner]

So, if inflation is cumulative, isn’t the current month’s inflation rate 13.5% over 2020?

Not quite cumulative. More like compounding, unless I am misreading the stat. 6.5% on top of 7% would be 13.955% from Dec 2020 to Dec 2022.

[moovova]

According to Zillow (yeah, I know), I’ve lost $90,000 home value in the last 8 months.

Thanks a lot, Brandon.

[millenial4freedom]

"I don’t think this is a record that Biden can run on for re-election"

Well, loan forgiveness, baby-killing, and questionable voting procedures can fix that for him.

[adorno]

6.5% on top of 7% would be 13.955% from Dec 2020 to Dec 2022.
So, is it 13.95% or 6.5% inflation of prices over the 2 years?

If I bought an item and it cost me $100 two years ago, and the same item cost 110 a year later, that would be 10% inflation; and if the same item cost $120 two years after the first year, that would be 20% inflation for the 2 years. Doesn't it work the same way with general inflation of all prices in the country?

[KarlInOhio]

But the last year rate would only be 9.09% going from $110 to $120. To “add” the rates together to get the total inflation you would multiply 1.1 x 1.0909 = 1.2 or a 20% total increase

[adorno]

Gotcha!

But, my point is that, inflation over the 2 Biden years is a lot more than the 6.5% being quoted as year-to-year from 2021, and the real inflation rate being closer to 15% or more over 2020.

[grey_whiskers]

“America is a nation that can be defined in a single word. Asafuthimerfutifuterwigh.” pic.twitter.com/BydUfVFX2k— James Melville (@JamesMelville) January 12, 2023