Fed nightmare

[athlonmank8]

Inflation is established at 3%+ running hotter than expectations. Fed was wanting to cut rates 3 times in 2024. 10 year Yields are headed back to 5% with mortgage rates past 7%

What in the hell is the Fed going to do. These guys are boxed in.

Market saw this inflation number today and will be adjusting for the next few days/weeks.

Growth is excellent ( for now) but if people can't afford a car or a house what the hell is the next step going to be?

 

[Covertibility]

And the caravans are still headed from South America !

What about the alien species under Dulce Base?

 

[schizo]

Just look at the difference between CPI and PPI. One is rising while the other is falling. What does this tell you? Companies are getting rich at the expense of the consumers.

CPI (MoM)

PPI (MoM)

 

[Darc]

Powel has said that Prices won't come down, even when Inflation comes down. Conpanies are quick to raise Prices. hesitant to lower them.

 

[athlonmank8]

Just look at the difference between CPI and PPI. One is rising while the other is falling. What does this tell you? Companies are getting rich at the expense of the consumers.

CPI (MoM)
View attachment 333866

PPI (MoM)
View attachment 333867

That type of thinking has destroyed numerous economies. You have to bring competition into the market. Not put price controls on companies.........

 

[athlonmank8]

Powel has said that Prices won't come down, even when Inflation comes down. Conpanies are quick to raise Prices. hesitant to lower them.

That's because you have taxes too high and not enough competition.

 

[TrailerParkTed]

Just look at the difference between CPI and PPI. One is rising while the other is falling. What does this tell you? Companies are getting rich at the expense of the consumers.

CPI (MoM)
View attachment 333866

PPI (MoM)
View attachment 333867

Do you remember COST’s earnings call in 2022 where the analysts were unhappy the CEO was pushing back on jacking up prices? One analyst said something really bizarre, akin to consumers don’t mind or enjoy paying up for fresh goods. The CEO blasted him saying not in his world do they like it.

 

[eleanorK80]

Inflation is established at 3%+ running hotter than expectations. Fed was wanting to cut rates 3 times in 2024. 10 year Yields are headed back to 5% with mortgage rates past 7%

What in the hell is the Fed going to do. These guys are boxed in.

Market saw this inflation number today and will be adjusting for the next few days/weeks.

Growth is excellent ( for now) but if people can't afford a car or a house what the hell is the next step going to be?

Tough spot for the Fed, indeed. Balancing inflation control and growth is key. Rate decisions will be crucial in the coming months.

 

[schizo]

That type of thinking has destroyed numerous economies. You have to bring competition into the market. Not put price controls on companies.........

No dude. What we're seeing at the moment is not a lack of competition, but tacit collusion among companies.

 

[schizo]

Do you remember COST’s earnings call in 2022 where the analysts were unhappy the CEO was pushing back on jacking up prices? One analyst said something really bizarre, akin to consumers don’t mind or enjoy paying up for fresh goods. The CEO blasted him saying not in his world do they like it.

No, I don't follow earnings call. But I find what the CEO said a little hypocritical. I shop at Costco for pretty much everything. Since 2020, prices at Costco went up quite dramatically, not to mention the size shrank for most of the products. What's more irritating is they've consistently jacked up annual fees.

What say you to that, Mr. CEO??