{"id":22793,"date":"2017-02-17T21:00:49","date_gmt":"2017-02-18T02:00:49","guid":{"rendered":"http:\/\/olduvai.ca\/?p=22793"},"modified":"2017-02-17T21:00:49","modified_gmt":"2017-02-18T02:00:49","slug":"whatever-happened-to-inflation-after-all-this-money-printing-it-has-arrived","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=22793","title":{"rendered":"Whatever Happened to Inflation after All This Money Printing? It Has Arrived!"},"content":{"rendered":"
\n

Whatever Happened to Inflation after All This Money Printing? It Has Arrived!<\/a><\/h3>\n<\/header>\n
\n

Workers, bondholders, savers get sacked. So what would Yellen do?<\/strong><\/p>\n

Consumer prices surged 0.6% in January from December, double the consensus forecast of a 0.3% rise. The sharpest monthly increase since February 2013, according to the\u00a0Bureau of Labor Statistics<\/a>.<\/p>\n

Energy prices jumped 4% month over month, including gasoline which jumped 7.8%. Food prices edged up 0.1%. Within this group, \u201cfood at home\u201d was unchanged, but prices for \u201cfood away from home\u201d \u2013 restaurants, taco trucks, and the like \u2013 rose 0.4%. In just one month, the prices of\u00a0apparel rose 1.4%, of new vehicles 0.9%, of auto insurance 0.8%, of airline fares 2.0%. Shelter rose \u201conly\u201d 0.2%, as the national numbers are now feeling the downward pressure on rents\u00a0in some of the most expensive rental markets in the US<\/a>.<\/p>\n

This chart \u00a0shows just how sharp that jump in monthly price increases is, compared to recent years:<\/p>\n

\"\"<\/p>\n

Compared to January a year ago, consumer prices as measured by CPI-U surged 2.5%, after having already jumped 2.1% in December.\u00a0The rate of inflation has now accelerated for the sixth month in a row. It has surged one full percentage point over the past four months and hit the highest rate since March 2012:<\/p>\n

\"\"<\/p>\n

So-called core inflation \u2013 which excludes food and energy \u2013 jumped 2.3% in January from a year ago. The consensus expected 2.1%. So you can\u2019t just blame the rising costs of energy. This \u201ccore\u201d measure of price increases has been above 2% since November 2015. Even during the Financial Crisis, when overall year-over-year CPI dipped briefly into the negative, core CPI remained in positive territory.<\/p>\n

However much these inflation measures may understate actual increases in the costs of living that people experience in their daily lives, even those understated measures are now beginning to exude a lot of heat. And afterwards, the consensus will say that no one saw this coming.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Whatever Happened to Inflation after All This Money Printing? It Has Arrived! Workers, bondholders, savers get sacked. So what would Yellen do? Consumer prices surged 0.6% in January from December, double the consensus forecast of a 0.3% rise. The sharpest monthly increase since February 2013, according to the\u00a0Bureau of Labor Statistics. Energy prices jumped 4% […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[2026,426,538,4254,4255],"class_list":["post-22793","post","type-post","status-publish","format-standard","hentry","category-economics","tag-consumer-prices","tag-inflation","tag-money-printing","tag-wolf-richter","tag-wolfstreet"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22793","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=22793"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22793\/revisions"}],"predecessor-version":[{"id":22794,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/22793\/revisions\/22794"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=22793"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=22793"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=22793"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}