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Stagflation risks grow as Ukraine war fuels even higher inflation
Fox Business via msn ^ | 4/10/2022 | Fox Business

Posted on 04/10/2022 11:56:46 AM PDT by RomanSoldier19

he U.S. economy is at a mounting risk of spiraling into a 1970s-style stagflation crisis as the Russia-Ukraine war exacerbates already sky-high inflation, according to a new analysis.

The Economist Intelligence Unit, in a Thursday note, predicted that consumer prices will continue to hover near a 40-year-high "at least until the middle of the year," weighing on consumer spending and real GDP growth. The London-based group already lowered its forecast for U.S. GDP this year from 3.4% to 3%.

Combined with an increasingly aggressive Federal Reserve, which lifted interest rates by a quarter-point in March and signaled at least six more, similarly sized increases this year, and the fallout from the Ukraine invasion, the outlook for the U.S. economy is growing bleaker.

"The economic fallout from the war and other external factors, such as the emergence of a new coronavirus variant (which remains our baseline scenario), expose the US to the growing risk of stagflation — low growth combined with high inflation," the analysis said.

(Excerpt) Read more at msn.com ...


TOPICS: News/Current Events
KEYWORDS: stagflation
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1 posted on 04/10/2022 11:56:46 AM PDT by RomanSoldier19
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To: RomanSoldier19

2 posted on 04/10/2022 11:58:52 AM PDT by dfwgator (Endut! Hoch Hech!)
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Can anyone tell me how, exactly, does the Ukraine war fuel inflation?

Serious question.

3 posted on 04/10/2022 12:02:12 PM PDT by BenLurkin ((The above is not a statement of fact. It is either opinion, or satire. Or both.))
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To: RomanSoldier19

“81 million” ey holes can’t be wrong.


4 posted on 04/10/2022 12:02:39 PM PDT by FlingWingFlyer (Don't blame me, I voted for President Trump. Let's Go Brandon! FJB!)
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To: BenLurkin

5 posted on 04/10/2022 12:08:16 PM PDT by RomanSoldier19 (Res ad Triarios venit; )
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To: RomanSoldier19

I don’t care. If it helps bring down the Bolsheviks and the Biden administration, I’m all for it.


6 posted on 04/10/2022 12:21:40 PM PDT by Signalman
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To: BenLurkin

Gas is expensive. So that drives the cost of everything up. If we want to lower the costs, we need to increase thr supply here on USA. Aslo, the Federal Reserve needs to be easy with their printing machines.


7 posted on 04/10/2022 12:26:08 PM PDT by MinorityRepublican
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To: MinorityRepublican; All

How exactly is the Ukraine war responsible for any of that?


8 posted on 04/10/2022 12:27:40 PM PDT by BenLurkin ((The above is not a statement of fact. It is either opinion, or satire. Or both.))
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To: BenLurkin

We are no longer able to buy Russian oil. We asked the Saudis for some help but MBS said no.


9 posted on 04/10/2022 12:34:12 PM PDT by MinorityRepublican
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To: MinorityRepublican

Are the Russians refusing to sell us oil?


10 posted on 04/10/2022 12:36:21 PM PDT by BenLurkin ((The above is not a statement of fact. It is either opinion, or satire. Or both.))
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To: BenLurkin

The Russia-Ukraine War is less than two months old and has NOT been a factor in any of our inflation to date.

But it’s a great excuse for Biden.

Biden knows the press is so corrupt they’ll go along with any lie he puts out because if they can’t blame Trump they’ll happily blame anyone - including the Russia-Ukraine War.


11 posted on 04/10/2022 12:40:17 PM PDT by GOPJ (We can ignore reality, but we cannot ignore the consequences of ignorinbg reality. Ayn Rand)
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To: BenLurkin

Can anyone tell me how, exactly, does the Ukraine war fuel inflation?
———-
It doesn’t, BUT the SANCTIONS are weakening the dollar, major sovereigns are dumping dollars and shifting to Yuan and Rubles, and Russia is reverse sanctioning the west on ALL commodities , metals, oil, NG, food…prepare for $7-10 trillion unwanted USD coming home.

Biden was a fool for weaponizing the USD, sovereign nations are now slowly moving away….and Vlad says: Checkmate.


12 posted on 04/10/2022 12:45:30 PM PDT by delta7
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To: MinorityRepublican

We are no longer able to buy Russian oil. We asked the Saudis for some help but MBS said no.
———-
They did far more: they stated they will take Yuan for oil. They are now currently, returning unwanted USD….as are other non western sovereign nations.


13 posted on 04/10/2022 12:52:17 PM PDT by delta7
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To: BenLurkin

Are the Russians refusing to sell us oil?
———-
And all commodities, food, metals, Vlad says Checkmate. The Ruble is already past the invasion date value, and rising. They tied their Ruble to their oil, commodities and food. India and many other sovereigns are ditching the USD- unwanted, the world ( non western) has seen the effects of a weaponized dollar- they d not want to be put on the “ list”, in the future.

To answer your question, the US said no to Russian oil,and many EU nations…Vlad will sell his oil, commodities, coal, and food in Rubles, Gold and Bitcoin, according to the Russian Central Bank.

The USD has been dethroned, prepare accordingly.


14 posted on 04/10/2022 1:00:14 PM PDT by delta7
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To: delta7

Did I mention JP Morgan is using their huge silver reserves, and metals( nickel) to supply the Comex and LBMA commodities market? One Comex default sends commodities to the moon.
OPEC and Saudi are in a tizzy, now offering their oil in Yuan, Rupees, and other alternate non western currencies….historic.


15 posted on 04/10/2022 1:05:36 PM PDT by delta7
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To: delta7

Historic, called the Commodities Currency backed bull run. It is historic, end of the USD hegemony.

https://www.goldmoney.com/research/goldmoney-insights/the-commodity-currency-revolution


16 posted on 04/10/2022 1:08:29 PM PDT by delta7
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To: delta7

The dollar is up 4% since the start of the Ukraine/Russia war against a basket of currencies.


17 posted on 04/10/2022 1:20:34 PM PDT by rb22982
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To: delta7
... OPEC and Saudi are in a tizzy, now offering their oil in Yuan, Rupees, and other alternate non western currencies….historic.

I heard someone asked about Texas hauling illegals to their northern states, and even though this person 100% favored letting the illegals in, no way to a state that "had enough people already." People merely like the virtue signaling of shutting down our fossil energy, but virtue goes out the window when their own $$ come into play. I take comfort in thinking of the invisible hands feverishly working to bring back economic sanity here when reality takes hold.

18 posted on 04/10/2022 2:30:36 PM PDT by gloryblaze
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To: Signalman

Me also, higher the better and a lil recession to boot


19 posted on 04/10/2022 3:16:38 PM PDT by italianquaker
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To: MinorityRepublican

“Gas is expensive. So that drives the cost of everything up. If we want to lower the costs, we need to increase the supply here on USA. Also, the Federal Reserve needs to be easy with their printing machines.”

I assume you’ve been banned from Twitter for this kind of hateful crazy talk! ;o)


20 posted on 04/10/2022 3:56:57 PM PDT by PTBAA
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