{"id":60695,"date":"2021-11-27T07:53:58","date_gmt":"2021-11-27T12:53:58","guid":{"rendered":"https:\/\/olduvai.ca\/?p=60695"},"modified":"2021-11-27T07:53:58","modified_gmt":"2021-11-27T12:53:58","slug":"feds-lowest-lowball-inflation-measure-spikes-to-worst-hottest-31-year-high-powell-groans-and-mutters","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=60695","title":{"rendered":"Fed\u2019s Lowest Lowball Inflation Measure Spikes to Worst-Hottest 31-Year High. Powell Groans and Mutters"},"content":{"rendered":"
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Fed\u2019s Lowest Lowball Inflation Measure Spikes to Worst-Hottest 31-Year High. Powell Groans and Mutters<\/a><\/h3>\n<\/header>\n
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But the Fed has now backed off its ridiculous claims and is taking inflation more seriously.<\/strong><\/p>\n

The lowest lowball inflation measure that the US government produces, \u201ccore PCE,\u201d which excludes the now soaring food and energy prices and understates inflation by the most, is used by the Fed for its inflation target: a symmetrical 2% \u201ccore PCE.\u201d And this core PCE in October, released today by the Bureau of Economic Analysis, spiked by 4.1%, more than twice the Fed\u2019s inflation target, and the worst-hottest inflation reading since January 1991:<\/p>\n

\"\"<\/p>\n

It\u2019s not temporary<\/em>, Fed Chair Jerome Powell groaned and muttered this morning upon seeing this inflation monster blow out, following his $4.5 trillion in money-printing in 21 months. Here he is,\u00a0freshly re-nominated for another four years<\/a>, viewing the problem of his own making that he will now have to deal with, by cartoonist\u00a0Marco Ricolli<\/a>\u00a0for WOLF STREET:<\/p>\n

\"\"<\/p>\n

The overall PCE inflation index that includes food and energy, the second-lowest lowball inflation measure the US government produces, spiked by 5.0% in October, the worst-hottest since November 1990:<\/p>\n

\"\"<\/p>\n

There is hardly anyone left on Wall Street with professional experience in this kind of inflation.<\/p>\n

And the Fed still has the foot on the gas, but just slightly less so, planning to print $105 billion from mid-November through mid-December to repress long-term rates, and it\u2019s still repressing short-term rates to near-zero \u2013 blowing at nearly full speed through every red light at every intersection.<\/p>\n

On a month-to-month basis, the overall PCE increased by 0.43% in October from September, the worst-hottest increase since May. This amounts to an annualized pace of 5.2% (12 x 0.43%).<\/p>\n

If you think that a car will slow down on its own somehow when you floor the accelerator, you\u2019re tragically mistaken, as the history of automotive accidents shows.<\/p>\n

\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Fed\u2019s Lowest Lowball Inflation Measure Spikes to Worst-Hottest 31-Year High. Powell Groans and Mutters But the Fed has now backed off its ridiculous claims and is taking inflation more seriously. The lowest lowball inflation measure that the US government produces, \u201ccore PCE,\u201d which excludes the now soaring food and energy prices and understates inflation by […]<\/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":[15374,172,303,13351,3650,4254,4255],"class_list":["post-60695","post","type-post","status-publish","format-standard","hentry","category-economics","tag-consumer-price-inflation","tag-cpi","tag-fed","tag-price-inflation","tag-us-federal-reserve","tag-wolf-richter","tag-wolfstreet"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/60695","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=60695"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/60695\/revisions"}],"predecessor-version":[{"id":60696,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/60695\/revisions\/60696"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=60695"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=60695"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=60695"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}