Inflation rose faster than expected in August, keeping prices painfully high

[TPD]

In Tennessee last week, I saw a gas station where diesel was exactly $2 higher per gallon than gas!

 

[Kyle]

US Crude Oil in the Strategic Petroleum Reserve Stocks Weekly Trends: Weekly Petroleum Status | YCharts

In depth view into US Crude Oil in the Strategic Petroleum Reserve Stocks including historical data from 1982 to 2024, charts and stats.

ycharts.com

 

[SamSpade]

Democrats Propose Another Inflation Reduction Act To Combat Inflation Created By First Inflation Reduction Act

Democrats Propose Another Inflation Reduction Act To Combat Inflation Created By First Inflation Reduction Act

WASHINGTON, D.C. — With inflation and consumer prices continuing to skyrocket, Democrats in Congress have proposed a brand new Inflation Reduction Act to combat the inflation brought about by the first Inflation Reduction Act.

babylonbee.com

Ronald Reagan said, “The nine most terrifying words in the English language are ‘I’m from the government and I’m here to help.’”

 

[Sneakers]

Now some of the food companies have acted like they are holding the line on prices until you realize the quanity is smaller.

That's been a thing forever. But the reality of it hit last week when I bought some creamcicles. They were less than half the size I remember. And I remember begging my mom for a quarter so I could buy one from the Good Humor truck as he drove past the house. A quarter....

Oh the humanity.....messing with my ice cream!!

 

[LightRoasted]

For your consideration ...

Don't know what all the fuss is about. Ribeyes at Weis are selling for $19.95 a pound. Now that's a bargain! end /s

 

[phreddyp]

For your consideration ...

Don't know what all the fuss is about. Ribeyes at Weis are selling for $19.95 a pound. Now that's a bargain! end /s

Last week choice porterhouse were $6.99 per pound at WEIS, I bought a few and they were damn fine.

 

[SamSpade]

And when the FOMC tightens by 100bps *minimum*, the Dow will rally. We need minimum 100bps at the remaining two this year.

Kinda hoping for that rally - soon.

 

[HemiHauler]

Kinda hoping for that rally - soon.

Sure, I think many do. But you know, it's not like we're entitled to cheap money and Fed-juiced markets in perpetuity. Recessions are good and serve a purpose. And make no mistake about it: a recession will have to be engineered to cool down inflation. If you look at data, during every single inflationary period, the FOMC raises rates high enough such that real rates are positive, which is recessionary. It is impossible to avoid.

 

[SamSpade]

Sure, I think many do. But you know, it's not like we're entitled to cheap money and Fed-juiced markets in perpetuity. Recessions are good and serve a purpose. And make no mistake about it: a recession will have to be engineered to cool down inflation. If you look at data, during every single inflationary period, the FOMC raises rates high enough such that real rates are positive, which is recessionary. It is impossible to avoid.

I think THIS inflationary period COULD have been avoided. Measures taken by Congress and the White House either MADE it happen or greatly worsened a bad situation. Printing money, spending and shutting down fossil fuels really gobsmacked a country recovering from pandemic. As I understand it, the "Inflation Reduction Act" which was just a nice name for something that had little to do with curbing inflation, is going to have a sequel. Another massive spending package.

At first I thought you meant there'd be a late day rally. Upon re-reading, I realize that you were referring to the next rate hike. But I haven't lost money like this in my retirement - and my wife's retirement - and faced bills like these - in years. Makes me figure I should NEVER retire. My money will never last.

 

[phreddyp]

Sure, I think many do. But you know, it's not like we're entitled to cheap money and Fed-juiced markets in perpetuity. Recessions are good and serve a purpose. And make no mistake about it: a recession will have to be engineered to cool down inflation. If you look at data, during every single inflationary period, the FOMC raises rates high enough such that real rates are positive, which is recessionary. It is impossible to avoid.

Joe has engineered this recession beyond any ones wildest dreams, high energy prices have triggered practically every recession in MY lifetime. The moron started off on the wrong foot to begin with! Not to mention it's almost impossible for a sitting president to cause a recession but Joe has managed almost it single handedly. The man really f**ked up!

The FED is so far behind the curve it ain't funny, leaving rates low during Obamas 1st term was their 1st mistake and then lowering them during Trumps tenure was their 2nd mistake (lower rates were not needed with the corporate and personal tax rates lowered) They were more than enough to stimulate the economy.

SemenHauler is correct in my opinion, rates have to go quite a bit higher to really affect what the FED wants.

 

[spr1975wshs]

Makes me figure I should NEVER retire.

I was considering hanging up the cleats when I hit 20 years with Lowe's in October, but looks like I will hang on until next year when I hit 66 1/2 and full SS retirement age. The Mrs. is seriously looking at working until she's 70 and has 30 years Federal Service built up. That will be August 2029.

 

[HemiHauler]

I think THIS inflationary period COULD have been avoided. Measures taken by Congress and the White House either MADE it happen or greatly worsened a bad situation. Printing money, spending and shutting down fossil fuels really gobsmacked a country recovering from pandemic. As I understand it, the "Inflation Reduction Act" which was just a nice name for something that had little to do with curbing inflation, is going to have a sequel. Another massive spending package.

At first I thought you meant there'd be a late day rally. Upon re-reading, I realize that you were referring to the next rate hike. But I haven't lost money like this in my retirement - and my wife's retirement - and faced bills like these - in years. Makes me figure I should NEVER retire. My money will never last.

Indeed - such are the perils of a centrally planned economy.

 

[Hijinx]

I was considering hanging up the cleats when I hit 20 years with Lowe's in October, but looks like I will hang on until next year when I hit 66 1/2 and full SS retirement age. The Mrs. is seriously looking at working until she's 70 and has 30 years Federal Service built up. That will be August 2029.

One thing is certain with the little interest paid on savings ,no one can put away enough money in savings and CD's to retire on. If you have stocks you could be wiped out one day and be standing there wondering what happened. You won't be traveling and enjoying the country with the price of gas, and motels costing more every day. You could buy an upholstered golf cart and enjoy a stop every 250 miles and get a room while waiting for it to recharge.

The craziest thing in my mind is the people who refuse to see what is happening.
Farmers with little or no fertilizer at any cost , winter coming on with high fuel prices, food shortages on the horizon, Save the planet and kill off those living on it, just doesn't make any sense.

 

[herb749]

I watched the evening national news yesterday. I wanted to see the reaction to the inflation news and the 1300 pt loss. !st story was about the Queen. It took 10 min to mention the inflation story. You'd think a one day 1300 pt drop on the stock market would be the top story. I guess only when the R's are in charge, so they can blame them.

 

[kom526]

The inflation CREATION act celebration! Complete with James Taylor performing!

Lifted from Fox News (emphasis mine)

"Okay. You’re listening there to President Biden at the White House. He’s celebrating the passage of the Inflation Reduction Act and he says he’s been fighting big pharma for decades," ALBERT BOURLA from Pfizer has entered the chat Camerota began. "But there’s this unfortunate split-screen right now with the Dow taking a total beating down more than twelve-hundred points and feels like it’s hard to be celebratory for some people."

Her co-host, Blackwell, offered a similarly grim assessment."Yeah, this is the day on which the White House celebrates the Inflation Reduction Act and a new report shows that inflation is especially high and what we are seeing on Wall Street is a reaction to that anticipating what’s coming from the fed," he warned. "The decision that will come on whether to increase - likely they will increase, but by how much - the interest rates another half point or three quarters of a point. We have to see in just a few days."

But Republicans are the baddies.

 

[HemiHauler]

I watched the evening national news yesterday. I wanted to see the reaction to the inflation news and the 1300 pt loss. !st story was about the Queen. It took 10 min to mention the inflation story. You'd think a one day 1300 pt drop on the stock market would be the top story. I guess only when the R's are in charge, so they can blame them.

You haven't been in equity markets very long, have you? What percentage drop does yesterday's close represent? Guarantee you not even top 50 of all-time. A 1300 point drop in today's market is rather insignificant.

 

[phreddyp]

You haven't been in equity markets very long, have you? What percentage drop does yesterday's close represent? Guarantee you not even top 50 of all-time. A 1300 point drop in today's market is rather insignificant.

Maybe, but so far, it's still not a real buying opportunity for me yet, I'm looking around 26000 or so!

 

[Sneakers]

My money will never last.

Everyone goes thru that angst and fear. I know I sure did, especially after the divorce and I was flat broke. In hindsight, could have done it earlier. It's weird, but I'm making more now that I did when I was working, between pension (yeah, I know very few have one of those now...) Social Security and a minor disbursement from my IRA, which grew substantially after I retired.

 

[HemiHauler]

Maybe, but so far, it's still not a real buying opportunity for me yet, I'm looking around 26000 or so!

I'd agree with you (for once, LOL) - not what I'd call a buying opportunity, but if I were still working and having money withheld every pay period, I'd still be a buyer - dollar cost averaging and all that.

 

[phreddyp]

I'd agree with you (for once, LOL) - not what I'd call a buying opportunity, but if I were still working and having money withheld every pay period, I'd still be a buyer - dollar cost averaging and all that.

How long have you been on the dole?