>> U.S. Inflation Edges Up
How can this be? Hmmm...
Well, the answer is in the body of the article, although not in the headline:
“...the cost of new vehicles rose by the most in more than 28 years... However, widespread price pressures were absent and analysts attributed the rise in vehicle prices to the government’s now expired “cash for clunkers” program, which had depressed auto prices by offering discounts.”
Joe Weisenthal
Nov. 18, 2009, 8:31 AM
Inflation is starting to get hot.
Latest CPI data is up 0.3%. Core was 0.2%, above the 0.1% that analysts were expecting.
Here we go?!
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WASHINGTON (AP) — The government says consumer prices edged up slightly faster than expected in October, driven higher by another increase in energy prices and the biggest increase in new car prices in 28 years.
Still, prices are lower than they were a year ago and inflation is expected to remain subdued as the economy struggles to emerge from a deep recession.
The Labor Department said Wednesday that consumer prices rose 0.3 percent in October, a bit more than the 0.2 percent economists had expected. Core inflation, which excludes energy and food, rose 0.2 percent, compared to analysts' expectation for a 0.1 percent rise in core prices.