July 18, 2024



It’s “Permanent” Not “Temporary” – Dollar’s Purchasing Power Plunged At Fastest Pace Since 1982

Authored by Wolf Richter via WolfStreet.com

…and it’s a lot worse than it appears.

The Consumer Price Index jumped 0.6% in May, after having jumped 0.8% in April, and 0.6% in March – all three the steepest month-to-month jumps since 2009, according to the Bureau of Labor Statistics today. For the three months combined, CPI has jumped by 2.0%, or by an “annualized” pace of 8.1%. This current three-month pace of inflation as measured by CPI has nothing to do with the now infamous “Base Effect,” which I discussed in early April in preparation for these crazy times; the Base Effect applies only to year-over-year comparisons.

Read more… https://www.zerohedge.com/economics/its-permanent-not-temporary-dollars-purchasing-power-plunged-fastest-pace-1982