Posted on 06/12/2024 5:35:15 AM PDT by Tell It Right
The consumer price index was expected to increase 0.1% on a month basis and 3.4% from a year ago, according to Dow Jones consensus estimates.
(Excerpt) Read more at cnbc.com ...
Keep in mind that the CPI doesn't account for energy, food, and housing price inflation. Not that those things are essential for living or anything like that.
IMHO, the “official” low inflation means the Federal Reserve can lean more towards lowering interest rates, or at least slow up on raising them. Same for not lowering their balance sheet as much.
Inflation is compounding. The 400 pound man didn’t gain any weight this month...
I like how the put this out up 3.3% from a year ago. They fail to mention how the 3.3% is additive.
Beef, butter, cars, housing
To be revised upwards in a few weeks.
It is probably a mistake to try to make political points out of prices being above 4 yrs ago. Deflation is largely unheard of throughout modern history, regardless of party in power.
As for this number today, it will get more hype than is deserved. The 0 month to month number was just under .05 that would have rounded to the expected 0.1%. So undeserved hype, room for revision, and oil is nearly back up to $80.
I’s amazing to me that the CPI doesn’t account for some of the very most important things in the cost of living. No wonder they always seem to be on the wrong side of the fence.
look at the breakout - Services, rent, and shelter inflation all above 5% for May. Low energy prices averaged things out and were the predominant reason for the stable total cpi number, but that’s because Biden is dumping our oil reserves on the open market to manipulate the prices down. The MSM will spin this but in reality we are still significantly above 2% targets and costs are compounding.
The Fed is cutting the money supply from an all time high.
They added $4 Trillion to it over a few years.
Now, it is time for the contraction.
Which ALWAYS leads to a recession.
They always say it is going to be a soft landing. However, it never is. They never want to say or preach doom and gloom. Most likely we are going to be actually in a recession with negative growth by the last quarter of 2024 into the first 1-3 quarters of 2025.
We are finally see people getting laid off. Corporations are cutting dead weight. The problem starts when the people that lose their jobs can not find another one paying the same.
Also, that they can not find another job “working from home”. Meaning: get your A$$ in the office IF you want this job. Resulting in people having to sell their house and potentially move to some place that has a job to offer. This puts more pressure to sell on real estate in some markets.
Yeah, I was going to say food prices up 3% in a year, in what universe? Wife wanted me to pick up some avocado oil today, it was up 10% from last month. Same with maple syrup, up 20% compared to about 4 months ago.
I’m not sure what a consumer price index is, but I do know that many grocery items I buy have gone up 30-50% since Biden became president. A few items have remained the same; a very few.
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