Posted on 05/27/2021 10:17:06 AM PDT by blam
Federal Reserve officials seem to be having some success in calming investor fears over U.S. inflation — the chart below from Deutsche Bank illustrates why that was a tall task.
The chart shows U.S. inflation data surprises at their highest in the 20-year history of the series, said strategist Jim Reid, referring to a note by equity strategist Parag Thatte. The last 10 data points were “almost off the chart,” he noted.
Investors and economists had long been gearing up for a significant pickup in inflation as vaccine rollouts set the stage for a bout of pent-up demand to meet supply shortages caused by pandemic-induced bottlenecks. Base effects — comparisons with year-ago price levels depressed due to the pandemic — were also anticipated to spur a run of hot inflation numbers. Those were all among reasons the Federal Reserve had assured it would look at rising inflation as “transitory,” or likely to fade.
But an even hotter-than-expected April consumer-price index reading earlier this month, showing that inflation jumped 4.2% year-over-year, sparked a tech-led stock-market pullback and a modest and short-lived rise in Treasury yields.
Markets seem to have calmed down after a series of public remarks by Fed policy makers. They overwhelmingly, though not unanimously, repeated that a sharp jump in inflationary pressures would prove temporary and that it remained too early to begin thinking about discussing...
(snip)
(Excerpt) Read more at msn.com ...
And the stock markets keep chugging higher. No one, not even conservatives, will jettison the markets even under dicey economic news.
Surprise! It’s *UNEXPECTED*.
Even though investors have been preparing for it for months.
I don’t think anyone who makes a living on this stuff is the least bit surprised. Rather, they’d be surprised if it WASN’T happening.
Buckle down folks, my tag line should have said, “pine for the salad days of the Jimmy Carter years.”
Pedo joe sees no evidence of inflation. Come on mannnnnn! If you think this is inflation, you ain’t black. Or something.
I did. 21 years ago. Once it became pretty much raw gambling, I left. I know that a lot of folks that know more than me have done very well since then, but then, they know more than me and can use that knowledge to their advantage.
Anyone with a dendrite in the brain box could see this coming when Biden was elected. This is what happens when Democrats are elected.
Even though investors have been preparing for it for months.
This is unexpectedly off the unexpected chart. Which is pretty much what I expected when Biden got in.
When inflation is the problem and the only solution DC has to ANY problem is to throw money at it - and that’s a bipartisan problem - I’m not sure how the looming catastrophe is avoided or abated.
We’re screwed.
Why is Jan 21 that last day in that chart?
Biden can say whatever he wants, but as far as THIS consumer is concerned...he is the main cause of inflation with his idiotic fiscal policies. Of course, the usual end result is that “little Miss America gets the short end again”. Wish Biden was retired & living on the kind of S.S. checks that most retirees have to live on. He would understand a little better.
Surprises, to who?
The coming economic Tsunami reminds of a real one. The tide withdraws just before a monster rolls in. And people just stand on the beach, wondering what is happening.
and the fake news covers for Joe and Commie.
I seriously heard a LOCAL tv station report soaring coffee and orange juice prices were because of A DROUGHT IN BRAZIL.
High gas? still blaming Russian hackers.
The media is covering for the failed Team Biden, Money Printers of the Western World.
Well said. This is all Xiden. The world struts its stuff knowing Xiden is stupid, riots all over, cop hating losers, money is worthless. My prediction: Xiden bankrupts the middle class foreclosures on all homes, gives them all to the browns. It’s over
you actually needed to know nothing, just could of invested in a fund that tracks the Nasdaq and you would of make bank.
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