This combo of massive QE, repressed interest rates, huge government stimulus with borrowed money, and raging inflation is new in recent history.
Rushing down a mountain can kill you, rushing to sell a business can cost you a fortune.
The big shift from durable goods to services is underway.
“Way above target”: Fed Chair Jerome Powell.
It isn’t buying whole neighborhoods; it’s buying whole new subdivisions of built-to-rent houses.
Inflation ate my homework: All this stimulus, so little to show for.
Repos are different from QE; they’re in-and-out transactions that don’t endlessly pile up, unlike QE.
Ah, hefty “fees” & fat “spreads.” But wasn’t the promise of bitcoin to buy stuff without using fiat currency payment systems such as PayPal?
Raging mania house-price inflation.
The rental market is in turmoil after jobs and people left, and price discovery has set in. Falling rents are a market-based solution to the “Housing Crisis.”
Purchases by buyers from China collapsed by 84% since the peak in 2017.
Bottom falls out at lower end. Fed-enriched high-end buyers doing fine.
The miracles of the new economy.
Even before QE, the 10-year yield lagged years behind CPI, up and down. And now, the Fed manipulates the market with QE.
But the US and Russia have similar red-hot inflation rates.
“No way did I realize how difficult it was going to be to try and get people to come to work these days”: CEO of CSX.
Sales edge up, after sagging for months, amid Crazy Spiking Prices.
As largest mall landlord in the US sheds its malls, CMBS holders, such as bond funds and pension funds, take the losses.
The Restaurant Industry Reacts to a Messed-Up Economy Plagued by Shortages & Transportation Snags.
And the utter craziness has begun to “decelerate” in some markets.
The explosion of per-vehicle gross profit shows why buying a car or truck now is nuts. But lots of people did though they didn’t need to: inflationary.
Inventories at retailers document this mess.
Inflation can be considered a tax, an especially regressive one, falling harder on those with lower income and/or assets.
Welcome to Fed’s New World of Inflation.
Now it’s confirmed, it wasn’t for PPP-loan fraud.
Get Used to Higher Inflation. My Thoughts on the Biggest Mess I’ve Seen in Decades (transcript).
Why is the Fed so far behind the curve? Other central banks are now making room for “persistent” inflation.
They’re getting passed on and feed into the inflation scenario.
Defying economists’ expectations for sixth month in a row, inflation heats up instead of easing off. And it’s a lot worse than it seems.
And the folks who experienced the high inflation of the 1970s and early 1980s as adults expect inflation to hit 5.7% in one year.