Inflation – Has it arrived?

[socrattt]

I’m not sure who’s paying attention these days as we are all still trying to predict what’s going to happen next week. We certainly know predicting next month has worse odds than darts at this point.

I’ve been looking at some conflicting numbers of late that make me believe that we may be feeling the first real effects of inflation. I suppose that’s all open to interpretation, but I will say that watching commodities rise with the equities market the way it has the last couple of months is one factor that has me guessing inflation is here. I suppose it could take some time for other indicators to catch up, but I hate when things are so obvious. I prefer the guessing game.

What do you think?

[mlarsen23]

You must be joking. The economy is slowing down to anemic growth levels, there is an army of unemployed people, government measures of inflation show it at the lowest levels in generation. A few weeks of modest improvement in the stock and commodities markets, and you are thinking that inflation is on its way? It amazes me how many people think inflation is just around the corner in the midst of the worst economy in decades.

[mlarsen23]

You must be joking. The economy is slowing down to anemic growth levels, there is an army of unemployed people, government measures of inflation show it at the lowest levels in generation. A few weeks of modest improvement in the stock and commodities markets, and you are thinking that inflation is on its way? It amazes me how many people think inflation is just around the corner in the midst of the worst economy in decades.

[mlarsen23]

You must be joking. The economy is slowing down to anemic growth levels, there is an army of unemployed people, government measures of inflation show it at the lowest levels in generation. A few weeks of modest improvement in the stock and commodities markets, and you are thinking that inflation is on its way? It amazes me how many people think inflation is just around the corner in the midst of the worst economy in decades.

[mlarsen23]

You must be joking. The economy is slowing down to anemic growth levels, there is an army of unemployed people, government measures of inflation show it at the lowest levels in generation. A few weeks of modest improvement in the stock and commodities markets, and you are thinking that inflation is on its way? It amazes me how many people think inflation is just around the corner in the midst of the worst economy in decades.

[mlarsen23]

You must be joking. The economy is slowing down to anemic growth levels, there is an army of unemployed people, government measures of inflation show it at the lowest levels in generation. A few weeks of modest improvement in the stock and commodities markets, and you are thinking that inflation is on its way? It amazes me how many people think inflation is just around the corner in the midst of the worst economy in decades.

[GH]

NOPE, by contrast to common sense our government has caved to the AARp and Unions (gasp) as is supporting a policy of deflation. Wages are down, home prices are down and the liquid money supply is virtually gone.

The current policy appears to be to allow loans to default then quietly mop up the mess. The equivalent of building a hospital at the bottom of a cliff rather than a fence at the top.

Our demands for 8% returns on investments combined with zero percent inflation have created a pressure cooker economy. Right now the pressure is being relieved through loan defaults. This is FINE until it hits MY pension plan which apparently loaned all this money at high risk to get the 8% I was guaranteed.

[GH]

NOPE, by contrast to common sense our government has caved to the AARp and Unions (gasp) as is supporting a policy of deflation. Wages are down, home prices are down and the liquid money supply is virtually gone.

The current policy appears to be to allow loans to default then quietly mop up the mess. The equivalent of building a hospital at the bottom of a cliff rather than a fence at the top.

Our demands for 8% returns on investments combined with zero percent inflation have created a pressure cooker economy. Right now the pressure is being relieved through loan defaults. This is FINE until it hits MY pension plan which apparently loaned all this money at high risk to get the 8% I was guaranteed.

[GH]

NOPE, by contrast to common sense our government has caved to the AARp and Unions (gasp) as is supporting a policy of deflation. Wages are down, home prices are down and the liquid money supply is virtually gone.

The current policy appears to be to allow loans to default then quietly mop up the mess. The equivalent of building a hospital at the bottom of a cliff rather than a fence at the top.

Our demands for 8% returns on investments combined with zero percent inflation have created a pressure cooker economy. Right now the pressure is being relieved through loan defaults. This is FINE until it hits MY pension plan which apparently loaned all this money at high risk to get the 8% I was guaranteed.

[GH]

NOPE, by contrast to common sense our government has caved to the AARp and Unions (gasp) as is supporting a policy of deflation. Wages are down, home prices are down and the liquid money supply is virtually gone.

The current policy appears to be to allow loans to default then quietly mop up the mess. The equivalent of building a hospital at the bottom of a cliff rather than a fence at the top.

Our demands for 8% returns on investments combined with zero percent inflation have created a pressure cooker economy. Right now the pressure is being relieved through loan defaults. This is FINE until it hits MY pension plan which apparently loaned all this money at high risk to get the 8% I was guaranteed.

[GH]

NOPE, by contrast to common sense our government has caved to the AARp and Unions (gasp) as is supporting a policy of deflation. Wages are down, home prices are down and the liquid money supply is virtually gone.

The current policy appears to be to allow loans to default then quietly mop up the mess. The equivalent of building a hospital at the bottom of a cliff rather than a fence at the top.

Our demands for 8% returns on investments combined with zero percent inflation have created a pressure cooker economy. Right now the pressure is being relieved through loan defaults. This is FINE until it hits MY pension plan which apparently loaned all this money at high risk to get the 8% I was guaranteed.

[CA renter]

Inflation? What inflation?

Stocks:

http://stockcharts.com/charts/historical/djia1900.html

Gold:

http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx

Commodities:

http://www.mrci.com/client/crb.php

Housing (I entered 1987 as a start date — their earliest record — and ended with 2Q 2010):

http://blogs.reuters.com/felix-salmon/2010/01/12/house-price-chart-of-the-day/

The dollar:

http://www.barchart.com/chart.php?sym=%24DXY&style=technical&p=DO&d=X&sd=&ed=&size=M&log=0&t=BAR&v=0&g=1&evnt=1&late=1&o1=&o2=&o3=&sh=100&indicators=&addindicator=&submitted=1&fpage=&txtDate=&x=84&y=11

There is no doubt about it, and the Fed has stated its goals explicitly: they are going to inflate.

[CA renter]

Inflation? What inflation?

Stocks:

http://stockcharts.com/charts/historical/djia1900.html

Gold:

http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx

Commodities:

http://www.mrci.com/client/crb.php

Housing (I entered 1987 as a start date — their earliest record — and ended with 2Q 2010):

http://blogs.reuters.com/felix-salmon/2010/01/12/house-price-chart-of-the-day/

The dollar:

http://www.barchart.com/chart.php?sym=%24DXY&style=technical&p=DO&d=X&sd=&ed=&size=M&log=0&t=BAR&v=0&g=1&evnt=1&late=1&o1=&o2=&o3=&sh=100&indicators=&addindicator=&submitted=1&fpage=&txtDate=&x=84&y=11

There is no doubt about it, and the Fed has stated its goals explicitly: they are going to inflate.

[CA renter]

Inflation? What inflation?

Stocks:

http://stockcharts.com/charts/historical/djia1900.html

Gold:

http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx

Commodities:

http://www.mrci.com/client/crb.php

Housing (I entered 1987 as a start date — their earliest record — and ended with 2Q 2010):

http://blogs.reuters.com/felix-salmon/2010/01/12/house-price-chart-of-the-day/

The dollar:

http://www.barchart.com/chart.php?sym=%24DXY&style=technical&p=DO&d=X&sd=&ed=&size=M&log=0&t=BAR&v=0&g=1&evnt=1&late=1&o1=&o2=&o3=&sh=100&indicators=&addindicator=&submitted=1&fpage=&txtDate=&x=84&y=11

There is no doubt about it, and the Fed has stated its goals explicitly: they are going to inflate.

[CA renter]

Inflation? What inflation?

Stocks:

http://stockcharts.com/charts/historical/djia1900.html

Gold:

http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx

Commodities:

http://www.mrci.com/client/crb.php

Housing (I entered 1987 as a start date — their earliest record — and ended with 2Q 2010):

http://blogs.reuters.com/felix-salmon/2010/01/12/house-price-chart-of-the-day/

The dollar:

http://www.barchart.com/chart.php?sym=%24DXY&style=technical&p=DO&d=X&sd=&ed=&size=M&log=0&t=BAR&v=0&g=1&evnt=1&late=1&o1=&o2=&o3=&sh=100&indicators=&addindicator=&submitted=1&fpage=&txtDate=&x=84&y=11

There is no doubt about it, and the Fed has stated its goals explicitly: they are going to inflate.

[Author]

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