Posted on 01/11/2024 8:33:32 AM PST by Kaiser8408a
Inflation is feelin’ hot, hot, hot!
Although core inflation declined in December (CPI all items less food and energy), it is still hot, hot, hot at 4% Year-over-year (YoY). This raises the following question: Is The Fed tightening too much? Aka, yet another Fed policy error?? Since The Fed target rate is 5.50% and core inflation is now 4%?
Headline Consumer Price Inflation printed hotter than expected in December, +0.3% MoM vs +0.2% exp and +0.1% prior, pushing the YoY headline CPI up to +3.4% (from +3.1% prior and hotter than the +3.2% exp)…
Source: Bloomberg
Services (Shelter mostly) costs re-accelerated and energy deflation stalled in December…
On the brighter side, core CPI according to the BLS rose 0.3% MoM as expected, dropping the YoY change below 4.00% for the first time since May 2021…
Source: Bloomberg
Goods deflation has stalled as the used cars and trucks index rose 0.5 percent over the month, after rising 1.6 percent in November.
More problematically for The Fed (and the rate-cut ‘hypers’), is the fact that Core CPI Services Ex-Shelter (SuperCore) rose 0.4% MoM, upticking the YoY rise to +4.09%…
Source: Bloomberg
This is a category that Fed Chair Jerome Powell and other policymakers have highlighted as a focus.
All the subsectors of SuperCore rose MoM with the shelter index increased 6.2 percent over the last year, accounting for over two thirds of the total increase in the all items less food and energy index.
Powell is in a real pickle now – does the Fed begin shrinking QT in March (which it has to if it is terminating BTFP and Reverse Repo is drained) without starting rate cuts.
(Excerpt) Read more at confoundedinterest.net ...
The financial data reported by our government is bogus.
Didn’t they recently discover that up to 900,000 jobs reported were completely bogus?
I ignore any government financial pronouncements. They are usually lies: only true when they coincidentally further the leftist agenda. Sad to witness this.
Does the unemployment consider our influx of guests, ahem illegals?
It was arguable they weren't worth the 99 cents they used to be. You are just an idiot if you are paying that, even if paying with food stamps.
Just read that inflation INCREASED in December. Somebody be booschidtin’.
I think they are referring to the rate, not the actual value. Whatever they say, we all know that prices are increasing far more than 3 or 4 percent per year. Probably in the 15 to 20% range. But, as I stated before, truth and our government are mutually exclusive.
Not sure
But Biden says that they have every right to compete with Americans for jobs. So maybe
“deflation”? They keep using that word. I don’t think that means what they think it means.
The jobs report has been bogus for quite some time!
https://www.bing.com/search?q=900%2C000+jobs+reported+were+completely+bogus%3F&gs_lcrp=EgZjaHJvbWUyBggAEEUYOagCALACAA&FORM=ANCMS9&PC=HCTS
Like everything else, right?
Our problems, everyone of them, are self inflicted. It’s time for people to accept that reality.
By 3.4 percent, they mean 12
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