Why Inflation Is Yesterdays News
I love it when all of Wall Street, the Fed, and the media agree; INFLATION!! WAIT, wasn't that long ago we had to super size the STIMULUS . Was that a bit overdone? The market did crash right or am I imagining that? If you asked the 50% of US households below the mean income of $60g's per yr..the stimulus was probably just right ...got to pay bills, buy cars and laptops...participate in the American Dream for 18 mo.s ...but I digress or do I? The marginal propensity of lower and middle income households to consume likely doubled, but that is now long gone. AND for most of the rest ....wait till they get their Q2 Statements. Commodity markets are already reflecting this reality. Starting with GASOLINE, everyone's favorite complaint. Monthly Bars The red arrows are on May. I wish I was that regular. Retail prices OF COURSE will lag. A closer look reveals that prices HAVE ALREADY come down almost $1.00. Not retail of course. 30 Min Bars