Signs of Hyperinflation?
By Warren Pollock
The Producer Price Index reveals that rampant inflation at the cash register is present for the essential goods all of us need for day-to-day living.
The cost of imported manufactured goods and components and stabilized fuel prices, which are in a post Iraq interim-pullback, provide a deflationary offset. Were it not for labor deflation and a calm oil market, we would all perceive the beginning of a hyperinflationary spiral in the equation.
The current quarter’s data regarding food goods reveal that the forward inflation rate in this category can be projected to an annual level of 16.4% per year. The statistics acknowledge staggering lagging inflation of 8.5%.
Finished consumer goods are rising at a backward-looking rate of 4.3% and a forward-looking rate of 7.6%.
This type of inflation begs our central bankers to raise rates dramatically yet they may not be able to lest they set off an explosion in the real estate, asset, and derivative bubbles. Politicians calling for the removal of currency pegs and intervention might inadvertently be advocating for financial Armageddon.
Pollock.news@verizon.net
PS: Es beginnt sehr schnell in den USA und ist dann am nächsten Morgen bei uns! Wacht auf: Rentensparer!
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Grüße
NL
By Warren Pollock
The Producer Price Index reveals that rampant inflation at the cash register is present for the essential goods all of us need for day-to-day living.
The cost of imported manufactured goods and components and stabilized fuel prices, which are in a post Iraq interim-pullback, provide a deflationary offset. Were it not for labor deflation and a calm oil market, we would all perceive the beginning of a hyperinflationary spiral in the equation.
The current quarter’s data regarding food goods reveal that the forward inflation rate in this category can be projected to an annual level of 16.4% per year. The statistics acknowledge staggering lagging inflation of 8.5%.
Finished consumer goods are rising at a backward-looking rate of 4.3% and a forward-looking rate of 7.6%.
This type of inflation begs our central bankers to raise rates dramatically yet they may not be able to lest they set off an explosion in the real estate, asset, and derivative bubbles. Politicians calling for the removal of currency pegs and intervention might inadvertently be advocating for financial Armageddon.
Pollock.news@verizon.net
PS: Es beginnt sehr schnell in den USA und ist dann am nächsten Morgen bei uns! Wacht auf: Rentensparer!
--------------------------------
Grüße
NL
