6.2% year over year... The last time this number was this high was 1990.
Yes, retires are in for a BIG bump (2022 Cost of Living Adjustment is 5.9%):
However, as we covered this morning, inflation within the production pipeline is over 20%. This will continue to be passed down to consumers and eat away at this Cost of Living Adjustment, especially when we consider the following figures:
Rent is nearly 1/3 of CPI and continuing to rise!
These two measures of rent account for 32% of CPI. Frankly, it is kind of ridiculous.
'Rent of primary residence' (7.6% in the overall CPI), rose by 0.4% in October from September, and by 2.7% year-over-year.
'Ownerβs equivalent rent of residences' (23.6% in the overall CPI) and is IMHO a purposely used flawed tool to track the costs of owning a home since it is based on surveys that ask current homeowners what they think their home might rent for. They can make up any number and this is what they choose to go with. Nonetheless, it is up 3.1% year over year.
However, actual home prices have spiked by 20%, according to the Case-Shiller Home Price Index. Remember, this tracks price changes of the same home over time--making it a measure of house price inflation (blue line below). Notice how βOwnerβs equivalent of rentβ (red line
... keep reading on reddit β‘January 2022 CPI weight update : U.S. Bureau of Labor Statistics (bls.gov)
Inflation won't happen and that is good.
Inflation isn't happening and that is good.
Inflation is transitory and that is good.
Inflation is here for a while and that is good.
Inflation needs to be calculated differently now and that is good.
>The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.5 percent in July on a seasonally adjusted basis after rising 0.9 percent in June, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 5.4 percent before seasonal adjustment.
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>The indexes for shelter, food, energy, and new vehicles all increased in July and contributed to the monthly all items seasonally adjusted increase. The food index increased 0.7 percent in July as five of the major grocery store food group indexes rose, and the food away from home index increased 0.8 percent. The energy index rose 1.6 percent in July, as the gasoline index increased 2.4 percent and other energy component indexes also rose.
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>The index for all items less food and energy rose 0.3 percent in July after increasing 0.9 percent in June. Along with shelter and new vehicles, the indexes for recreation, for medical care, and for personal care increased in July. The index for used cars also increased in July, but the 0.2-percent advance was much smaller than in recent months. The index for motor vehicle insurance declined in July, and the index for airline fares fell slightly.
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>The all items index rose 5.4 percent for the 12 months ending July, the same increase as the period ending June. The index for all items less food and energy rose 4.3 percent over the last 12 months, while the energy index rose 23.8 percent. The food index increased 3.4 percent for the 12 months ending July, compared to a 2.4-percent rise for the period ending June.
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>Percent changes in CPI for All Urban Consumers (CPI-U): U.S. city average, Seasonally adjusted changes from the preceding month:
https://www.bls.gov/news.release/pdf/cpi.pdf
https://www.bls.gov/news.release/pdf/cpi.pdf
EDIT - UPDATED TABLE:
https://preview.redd.it/7calyw3icqg71.png?width=890&format=png&auto=webp&s=c15fbeabd87461aa3efe5948bdabc6e9d26bfdc4
Previous 12 months of inflation rate as previously posted by u/diamondsR4lever (Jul gets a 5.4 as well):
[https://www.redd
... keep reading on reddit β‘
"Total nonfarm payroll employment rose by 266,000 in April, and the unemployment rate was little changed at 6.1 percent, the U.S. Bureau of Labor Statistics reported today. Notable job gains in leisure and hospitality, other services, and local government education were partially offset by employment declines in temporary help services and in couriers and messengers. "
Expectations were that unemployment would fall to about 5.8% for the month. More here and here.
Ahead of the BLSBS by Craig Hemke
Bureau of Labor Statistics (BLS) + BS
U.S. jobs market is due this Friday, and what do we expect, how will it affect #Silver and #Gold
Worth 3 minutes of your time to read this one.
Yesterday the Bureau of Labor Statistics released the Producer Price Index for October.
This report categorizes demand into 4 stages based on how things are produced. From Stage 1 industries that are some distance up the production flow and create inputs for State 2 industries (inputs for to be produced widgets). Stage 3 industries and Stage 4 industries primarily create the inputs for Final Demand industries, which create the inputs for consumer-facing industries (tracked by the CPI).
Retracing the pricing pipeline of production:
- Intermediate Demand, Stage 4, the input cost for final demand: +0.7% in October from September, goods +1.2% and services +0.1% month to month. Year-over-year +11.8%.
- Intermediate Demand, Stage 3: +0.9% in October from September, with goods +1.1% and services +0.6%. Year-over-year +20.2%
- Intermediate Demand, Stage 2: exploded by 4.7% in October from September, with goods jumping 9.8% month to month and services up 0.1%. Year-over-year +27.8%, the highest in the data!
- Intermediate Demand, Stage 1, furthest up the production pipeline: +1.0% for the month, with goods +2.1% and services -0.2%. Year-over-year: +20.4%
As we can see the production pipeline is up over 20% in all but one instance and this will continue to make its way to Stage 4, and ultimately onto the consumer!
https://www.bls.gov/news.release/ppi.nr0.htm
https://www.bls.gov/news.release/ppi.nr0.htm
https://www.bls.gov/news.release/ppi.nr0.htm
https://www.bls.gov/news.release/ppi.nr0.htm
[https://www.bls.gov/news.release/ppi.nr0.htm](https://preview.redd.it/v536j4zhmsy71.png?width=1262&format=png&a
... keep reading on reddit β‘
