WSJ: Inflation almost back down to Fed’s2% target

[citygator]

Murdoch’s Wall Street Journal points out what I’ve been telling you guys, inflation is over. For the last 5 months we’ve averaged 2.5%. It was transitory from supply restrictions and has now mostly righted itself. Still some risk from Ukraine war and turmoil in Iran on the energy front but the rest is settling down.

Opinion | What if Inflation Suddenly Dropped and No One Noticed?

The high year-over-year rate masks progress in the past five months. But we’re not out of the woods.

www.wsj.com

Maybe we should start the new year with some good news: Inflation has fallen dramatically.

No, that’s not a prediction; it’s a fact. With one month remaining in 2022 (in terms of available data), inflation in the second half of the year has run vastly lower than in the first half. In fact—and this is astonishing—it’s almost back down to the Federal Reserve’s 2% target. Even more astonishing, hardly anyone seems to have noticed.

Over the past five months (June to November 2022), inflation has slowed to a crawl. Whether measured by the consumer-price index, or CPI, which most people watch, or the price index for personal consumption expenditures, or PCE, which the Federal Reserve prefers, the annualized inflation rate has been around 2.5% over these five months.

As mentioned, the CPI inflation rate over the past 12 months has been an alarming 7.1%. But the U.S. economy got there by averaging an appalling 10.6% annualized inflation rate over the first seven months and a mere 2.5% over the last five. The PCE price index tells a similar story, though a somewhat less dramatic one. The 5.5% inflation rate over the past 12 months came from a 7.8% rate over the first seven months followed by a 2.4% rate over the last five.

 

[Natural Citizen]

Murdoch’s Wall Street Journal points out what I’ve been telling you guys, inflation is over.

lolol...

 

[citygator]

Oh. Thanks Biden!

 

[luiza]

An opinion not shared by many .

The only way matters might be partly helped is if housing and major outlay prices ( cars ) fall heavily --- which they are already starting to do .But this will itself reflect a huge decline in demand and affordability and therefore will not address the prime causes of overall economic decline and outlook .

But we have not yet started to see the full impact of the food prices disaster now guaranteed in so many areas and coming from poor harvests and drastically low new season planting .
Nor has the population decline been recognised which will see a fall in the number available for work and lead to upward pressure for pay increases .
In general terms I see three to four inflationary indicators for every one or two in the opposite direction .

2023 might verge on the disastrous overall , imho .Fingers and toes all crossed .

 

[SmokeALib]

All I know is today I bought a lb of butter, a gallon of milk, a half loaf of bread, and a dozen eggs for 22 dollars. Double what that would cost me 2 years ago.

 

[Harry Dresden]

Oh. Thanks Biden!

you people give the presidents way to much credit.....its the people behind the scenes who are way more responsible for prosperity....

 

[citygator]

you people give the presidents way to much credit.....its the people behind the scenes who are way more responsible for prosperity....

I only thank Biden for everything cuz this place blames him for everything. Biden has done well staying out of the way and focusing on things he can fix like our infrastructure.

Inflation was always going to fix itself cuz it was caused by a scarcity in goods and an opening of the economy with corporations taking advantage.

 

[Harry Dresden]

I only thank Biden for everything cuz this place blames him for everything. Biden has done well staying out of the way and focusing on things he can fix like our infrastructure.

Inflation was always going to fix itself cuz it was caused by a scarcity in goods and an opening of the economy with corporations taking advantage.

and trump and obama were not blamed for everything?....the American business person is responsible for most of any prosperity....they are the ones putting out the money to start things..........

 

[citygator]

and trump and obama were not blamed for everything?....the American business person is responsible for most of any prosperity....they are the ones putting out the money to start things..........

Then he should get credit for the good. Thanks Biden for all the jobs!!

 

[iamwhatiseem]

if you actually think inflation is down to 2%.... holy hell you obviously live in your parents basement and they bring you everything you need. Because you obviously never go shopping.

 

[C_Clayton_Jones]

Maybe we should start the new year with some good news: Inflation has fallen dramatically.

Not good news for Republicans, of course.

The reprehensible right wants Americans to continue to suffer for perceived partisan gain.

 

[Harry Dresden]

Then he should get credit for the good. Thanks Biden for all the jobs!!

all presidents do is take credit for any jobs starting up,no doubt because of their parties making it that way....biden doesnt have much to do about the jobs starting up now...

 

[Harry Dresden]

Not good news for Republicans, of course.

The reprehensible right wants Americans to continue to suffer for perceived partisan gain.

and the reprehensible left would do the same thing if it meant some political gain....

 

[1srelluc]

Was that before or after the .40 - .50 cent a gallon gas increase this past week?

On the plus side Trader Joes finally got in some of their excellent Cocktail Sauce.....For 1/3 more than the last time I bought it.

 

[citygator]

if you actually think inflation is down to 2%.... holy hell you obviously live in your parents basement and they bring you everything you need. Because you obviously never go shopping.

I don’t think you understand the article. I’m not surprised.

 

[Cellblock2429]

Murdoch’s Wall Street Journal points out what I’ve been telling you guys, inflation is over. For the last 5 months we’ve averaged 2.5%. It was transitory from supply restrictions and has now mostly righted itself. Still some risk from Ukraine war and turmoil in Iran on the energy front but the rest is settling down.

Opinion | What if Inflation Suddenly Dropped and No One Noticed?

The high year-over-year rate masks progress in the past five months. But we’re not out of the woods.

www.wsj.com

Maybe we should start the new year with some good news: Inflation has fallen dramatically.

No, that’s not a prediction; it’s a fact. With one month remaining in 2022 (in terms of available data), inflation in the second half of the year has run vastly lower than in the first half. In fact—and this is astonishing—it’s almost back down to the Federal Reserve’s 2% target. Even more astonishing, hardly anyone seems to have noticed.

Over the past five months (June to November 2022), inflation has slowed to a crawl. Whether measured by the consumer-price index, or CPI, which most people watch, or the price index for personal consumption expenditures, or PCE, which the Federal Reserve prefers, the annualized inflation rate has been around 2.5% over these five months.

As mentioned, the CPI inflation rate over the past 12 months has been an alarming 7.1%. But the U.S. economy got there by averaging an appalling 10.6% annualized inflation rate over the first seven months and a mere 2.5% over the last five. The PCE price index tells a similar story, though a somewhat less dramatic one. The 5.5% inflation rate over the past 12 months came from a 7.8% rate over the first seven months followed by a 2.4% rate over the last five.

/-----/ Uhhhhh no, Mr. Economics Expert. We still had 1.5 years of 8% inflation that is built into the price of everything. That is never going away. Now those inflated prices will grow by 2.5%.
In other words, something that cost $1.00 in 2020, grew to $1.08 in 2021, and $1.16 in 2022, and, that will grow to $1.19 in 2023. That's how math works.
When we get to DEFLATION, then you can celebrate.

 

[citygator]

Was that before or after the .40 - .50 cent a gallon gas increase this past week?

On the plus side Trader Joes finally got in some of their excellent Cocktail Sauce.....For 1/3 more than the last time I bought it.

Ooooo. I love one off stories and anecdotes. They are so much more reliable than actual data. Prices have settled in. They’ll drop a bit but won’t be going up. Most wages have adjusted and will be catching back up with all the open jobs still in America. Make sure you are leveraging these good employment times to get the best salary (if you work for a living that is).

 

[Mac-7]

Murdoch’s Wall Street Journal points out what I’ve been telling you guys, inflation is over. For the last 5 months we’ve averaged 2.5%. It was transitory from supply restrictions and has now mostly righted itself. Still some risk from Ukraine war and turmoil in Iran on the energy front but the rest is settling down.

Opinion | What if Inflation Suddenly Dropped and No One Noticed?

The high year-over-year rate masks progress in the past five months. But we’re not out of the woods.

www.wsj.com

Maybe we should start the new year with some good news: Inflation has fallen dramatically.

No, that’s not a prediction; it’s a fact. With one month remaining in 2022 (in terms of available data), inflation in the second half of the year has run vastly lower than in the first half. In fact—and this is astonishing—it’s almost back down to the Federal Reserve’s 2% target. Even more astonishing, hardly anyone seems to have noticed.

Over the past five months (June to November 2022), inflation has slowed to a crawl. Whether measured by the consumer-price index, or CPI, which most people watch, or the price index for personal consumption expenditures, or PCE, which the Federal Reserve prefers, the annualized inflation rate has been around 2.5% over these five months.

As mentioned, the CPI inflation rate over the past 12 months has been an alarming 7.1%. But the U.S. economy got there by averaging an appalling 10.6% annualized inflation rate over the first seven months and a mere 2.5% over the last five. The PCE price index tells a similar story, though a somewhat less dramatic one. The 5.5% inflation rate over the past 12 months came from a 7.8% rate over the first seven months followed by a 2.4% rate over the last five.

So when will eggs be 2.50 a dozen again instead of $5 ?

When these inflated prices return to pre biden days then the inflation is over

And you dont know about that

Has biden sufficiently impoverished average Americans yet?

We’ll see

 

[citygator]

/-----/ Uhhhhh no, Mr. Economics Expert. We still had 1.5 years of 8% inflation that is built into the price of everything. That is never going away. Now those inflated prices will grow by 2.5%.
In other words, something that cost $1.00 in 2020, grew to $1.08 in 2021, and $1.16 in 2022, and, that will grow to $1.19 in 2023. That's how math works.
When we get to DEFLATION, then you can celebrate.

You don’t want deflation. You want prices to stabilize and wage growth. Deflation will be devastating. A little bit is ok. With all the jobs Biden is creating you should be able to leverage that for better salaries and wages.

 

[Mac-7]

You don’t want deflation. You want prices to stabilize and wage growth. Deflation will be devastating. A little bit is ok. With all the jobs Biden is creating you should be able to leverage that for better salaries and wages.

So, the inflated prices will never go away

Nice work Brandon