Fed’s Favorite Lowball Inflation Gauge is Red-Hot, Not Seen in Decades, Even Without the “Base Effect” by Wolf Richter • May 28, 2021 • 281 Comments The majestic inflation overshoot has arrived.
Car & Truck Sales Show: The Inflation Mindset Has Changed, Consumers Are Willing to Pay a Lot More, Generating not only Record Sales but also Record Gross Profits by Wolf Richter • May 27, 2021 • 183 Comments This change in the inflation mindset is likely not “temporary.”
Spiking Inflation, Rate Hikes, and Debt Defaults in Latin America by Nick Corbishley • May 15, 2021 • 145 Comments Mexico and Brazil, having seen the economic destruction that high inflation can wreak, don’t want to see it again.
Odd Man Out at the Fed: Kaplan Talks Tapering, Inflation, Risk Management, Excesses in Financial & Housing Markets, Supply-Demand Imbalances by Wolf Richter • May 15, 2021 • 208 Comments “While you don’t want to be too preemptive” in tapering, “you don’t want to be so reactive as to being late.”
It’s Getting Serious: Dollar’s Purchasing Power Plunges Most since 2007. But it’s a Lot Worse than it Appears by Wolf Richter • May 12, 2021 • 310 Comments Fed officials, economists “surprised” by surge in CPI inflation, but we’ve seen it for months, including “scary-crazy” inflation in some corners.
Consumers Expect Surging Inflation to Crush the Purchasing Power of their Labor: Fed’s Survey by Wolf Richter • May 10, 2021 • 278 Comments And there are some whoppers.
What’s Behind the WTF Spike in Used-Vehicle Prices? My Gut Says, it Can’t Last. But if it Lasts, It’s Scary-Crazy Inflation by Wolf Richter • May 7, 2021 • 207 Comments And if it doesn’t last after the stimmies are gone, dealers will sit on massively overpriced collateral, which could get messy.
Lumber: Scary-Crazy Inflation Now Gets Passed On. But These WTF Price Spikes Cannot Last by Wolf Richter • May 5, 2021 • 188 Comments Irrational behavior by buyers confidently betting on being able to pass on that irrationality to their customers. It works until it doesn’t.
Inflation Jumped by 3.8% in Q1, “Real GDP” Rose 1.6%, Dragged Down by Record Trade Deficit and Drop in Inventories by Wolf Richter • Apr 29, 2021 • 132 Comments Even the Fed’s repressed inflation measure without food and energy rose 2.3% annual rate.
Producer Prices Surge. Germany, China, other Countries Are Now Exporting Inflation, Adding to US Inflation Pressures by Nick Corbishley • Apr 25, 2021 • 108 Comments Central banks still brush it off as just “temporary.”
