Inflation is smoking hot. As measured by the consumer price index, the inflation rate is at 7.5%. And the cooked government CPI number understates inflation.
Peter Schiff says the inflation tsunami is just getting started. The Fed is talking about an inflation fight, but it’s more likely to drive the US economy into a recession. And Schiff says that will make inflation even worse.
The Fed is supposed to make the economy more stable. But it’s clear the real impact is the exact opposite. The Fed causes great harm. And as Ron Paul pointed out in a recent article, it hurts the average American worker the most.
The markets seem to be anticipating a Fed inflation fight. They also seem to be realizing that this is going to cause a recession. But they still haven’t come to grips with the fact that this is not going to fix the inflation problem. In his podcast, Peter Schiff argues that the recession will actually end up making inflation worse.
There was more bad inflation news this week. So, the Fed is about to ramp up the inflation fight, right? Not so fast. In this episode of the Friday Gold Wrap, host Mike Maharrey argues that the central bank isn’t set to go to war with inflation because it can’t. And he explains how St. Louis Fed President James Bullard let the cat out of the bag.
The Federal Reserve released the minutes from its January FOMC meeting on Wednesday (Feb. 16). While there was some talk about taking on inflation, it doesn’t appear the central bank is really serious about an inflation fight. In his podcast, Peter Schiff talked about the most recent inflation data and the Fed’s response. He said the central bank is quickly running out of minutes.
St. Louis Federal Reserve President James Bullard unwittingly let the cat out of the bag and revealed the central bank doesn’t have the stomach to do what’s necessary to take on surging, persistent inflation.
Federal Reserve Chairman Jerome Powell “retired” the word “transitory” as it relates to inflation back on Nov. 30. Just two-and-a-half months later, we’re seeing a new word bandied about to describe inflation — persistent.
Less than a week after the January CPI data came in even hotter than anticipated (again), we got yet another signal that persistent is a much better word for the inflation situation. Producer prices (PPI) doubled expectations, charting the biggest increase in eight months.
SchiffGold managing editor and host of the Friday Gold Wrap podcast Mike Maharrey joined Mises Institute President Jeff Deist on WHBO radio to talk about inflation and the Federal Reserve, Mike explains how the Fed has gotten itself stuck in a tight spot. To be sure, it has an inflation problem. But a legitimate fix would create its own set of problems.
In a nutshell, the central bank is damned if it does and damned if it doesn’t.
After CPI came in hotter than expected yet again in January, Peter Schiff appeared on Fox Business along with Chief Investment Officer and Portfolio Manager of Solutions Funds Group Larry Shover. Peter said that the inflation tsunami is just getting started and the Fed is powerless to fight it.
The Federal Reserve still seems to be hoping that inflation will just go away on its own or that it can jawbone it down by projecting a few little rate hikes. But the Consumer Price Index data keeps dashing its hopes. In this episode of the Friday Gold Wrap, host Mike Maharrey talks about the January CPI and the Fed’s proposed “fight” against inflation. He also discusses the demand forecast for silver this year.
The latest seasonally adjusted inflation rate for January was 0.65% month over month, with a non-seasonally adjusted annual rate of 7.48%. Both of these numbers came in above expectations.
As hypothesized last month, it was very possible that Omicron temporarily restrained inflation in December and a rebound should be expected. It did not take long for the rebound to occur!
