Core Inflation Falls To Lowest Rate In Four Years

[Hello My Son]

I think the Trump induced economic chaos has given many some pause.

Given the steep drop in Consumer Confidence until the last report, many of us may simply be choosing to play it safe.

I only think it’s what’s given them pause. I think their reality caught up to them because there’s also a record number of late credit card payments right now.

All signs point to a ton of Americans reaching the natural endpoint of spending themselves into bankruptcy through irresponsible credit card debt.

These trends were already spiking well before Trump got into office again, unfortunately.

 

[anatta]

gas is still $3.56 / gal in my area.

have not really noticed any real drop in food prices either.

neither have I, but food prices seem to have stabilized at least
~~

Graphic: Track grocery price trends

NBC News is tracking changes in the prices of eggs, bread, ground beef, chicken and other grocery items to monitor the impact on consumers’ food bills.

www.nbcnews.com

 

[Greenbeard]

neither have I, but food prices seem to have stabilized at least
~~

Graphic: Track grocery price trends

NBC News is tracking changes in the prices of eggs, bread, ground beef, chicken and other grocery items to monitor the impact on consumers’ food bills.

www.nbcnews.com

 

[MTAtech]

Was there a point I missed? Meanwhile the cost of eggs (Trump's favourite metric), has risen 49% and, contrary to Trump's lies, gas (petrol) prices are increasing, averaging $3.30.

Gasoline prices fell largely during Biden's last year.

 

[Pound4abrown]

so much for recession.time to lower rates

Core Inflation Falls To Lowest Rate In Four Years

Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021. | Economy

www.breitbart.com

rices barely climbed in April, pulling the annual rate of inflation down toward the Federal Reserve’s two percent target, even while personal income climbed at a rapid rate.


The personal consumption price index climbed 0.1 percent in April, the second month in a row in which consumers got relief from inflation that had plagued the economy throughout the Biden administration. In March, the index showed prices were flat.


Compared with a year ago, prices are up just 2.1 percent. That just one-tenth above the two percent rate of inflation the Fed says it targets. In March, prices were up 2.3 percent from a year earlier.


Core prices, a measure that excludes food and energy, also rose 0.1 percent. Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021.

so is this still the Biden economy or are we calling it the Trump economy this week?

 

[JohnRawls]

so much for recession.time to lower rates

Core Inflation Falls To Lowest Rate In Four Years

Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021. | Economy

www.breitbart.com

rices barely climbed in April, pulling the annual rate of inflation down toward the Federal Reserve’s two percent target, even while personal income climbed at a rapid rate.


The personal consumption price index climbed 0.1 percent in April, the second month in a row in which consumers got relief from inflation that had plagued the economy throughout the Biden administration. In March, the index showed prices were flat.


Compared with a year ago, prices are up just 2.1 percent. That just one-tenth above the two percent rate of inflation the Fed says it targets. In March, prices were up 2.3 percent from a year earlier.


Core prices, a measure that excludes food and energy, also rose 0.1 percent. Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021.

While this is good news for now, there are couple of problems:

1) This is the result of dampened demand and declining economy and not long term policy change of any sort.
2) The debt and money issuing is still there and out of hand still pumping those prices.

With a bit of a problem in the future:
1) The tariffs that we discussed before that Trump implemented before rolling them back caused a 20% decline in imports for around 1 month meaning that market will once again adjust prices for a bit because they won't be able to get enough goods to produce and sell properly.
2) We have 30-60 days left before the 90 day timeline runs out then what? Is it the same tariffs again or what is next? What is the policy? When will the uncertainty end? (This decreases investment and predictability)

 

[Allan]

95% chance of flat or negative growth. The nr. 1 thing that drives consumption is consumer confidence...which is heading south, and that exports to the US from China has all but collapsed means even if consumers wanted to buy, the items either would not exist or be way more expensive due to limited supply..

I've lost track. What is the current tariff on Chinese imports?

 

[MTAtech]

Of course. Entitlements will continue to suck us dry until we pass real reform.

"Entitlement reform" is a dog whistle for cutting entitlements. The current budget bill, the Big Bad Bill, calls for cutting Medicaid and because it increases the deficit so much, it triggers cuts to Medicare. Why are the Republicans in charge doing this? So they can cut taxes on the uber-wealthy. So, entitlement reform is just to enrich the rich with tax cuts.

Oh, you say we should increase the retirement age because people are living longer? Professional workers are living longer, not janitors. Increasing the retirement age just cuts benefits for manual labor workers who really should retire now.

 

[MTAtech]

so much for recession.time to lower rates

Core Inflation Falls To Lowest Rate In Four Years

Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021. | Economy

www.breitbart.com

rices barely climbed in April, pulling the annual rate of inflation down toward the Federal Reserve’s two percent target, even while personal income climbed at a rapid rate.


The personal consumption price index climbed 0.1 percent in April, the second month in a row in which consumers got relief from inflation that had plagued the economy throughout the Biden administration. In March, the index showed prices were flat.


Compared with a year ago, prices are up just 2.1 percent. That just one-tenth above the two percent rate of inflation the Fed says it targets. In March, prices were up 2.3 percent from a year earlier.


Core prices, a measure that excludes food and energy, also rose 0.1 percent. Over the past year, core prices are up 2.5 percent, the smallest year-over-year increase since March of 2021.

Core inflation is underlying price trends excluding food and energy.

Headline inflation, a broad measure, captures the overall rise in prices, including volatile items like food and energy.

 

[Chomsky]

so is this still the Biden economy or are we calling it the Trump economy this week?

Given the current status and future prospects for the Trump Economy, I think Trump may be calling it the "Biden Economy" until after his term's up!

 

[Taylor]

"Entitlement reform" is a dog whistle for cutting entitlements.

It can be whatever they make it to be, doesn't change the fact that entitlements comprise the vast majority of spending increases, and it's only going to get worse.

The current budget bill, the Big Bad Bill, calls for cutting Medicaid and because it increases the deficit so much, it triggers cuts to Medicare. Why are the Republicans in charge doing this? So they can cut taxes on the uber-wealthy. So, entitlement reform is just to enrich the rich with tax cuts.

It hasn't passed, so you can't blame any of the "increased spending" on that.

Oh, you say we should increase the retirement age because people are living longer? Professional workers are living longer, not janitors. Increasing the retirement age just cuts benefits for manual labor workers who really should retire now.

Why should they "retire now"?

 

[Chomsky]

While this is good news for now, there are couple of problems:

1) This is the result of dampened demand and declining economy and not long term policy change of any sort.
2) The debt and money issuing is still there and out of hand still pumping those prices.

With a bit of a problem in the future:
1) The tariffs that we discussed before that Trump implemented before rolling them back caused a 20% decline in imports for around 1 month meaning that market will once again adjust prices for a bit because they won't be able to get enough goods to produce and sell properly.
2) We have 30-60 days left before the 90 day timeline runs out then what? Is it the same tariffs again or what is next? What is the policy? When will the uncertainty end? (This decreases investment and predictability)

FYI - The West Coast Port Masters claim the JUN dock schedule is no better than in MAY, when the tariffs were super high. It seems Chinese Exporters are waiting for the situation to stabilize, before they can price orders and ship more stuff.

I'm not sure if that impacts your prediction.

 

[JohnRawls]

FYI - The West Coast Port Masters claim the JUN dock schedule is no better than in MAY, when the tariffs were super high. It seems Chinese Exporters are waiting for the situation to stabilize, before they can price orders and ship more stuff.

I'm not sure if that impacts your prediction.

Well I just know about 1 month that imports are down basically 20%. Meaning that is a lot of stuff that won't be sold at retailers or a lot of things that won't be used for production to make even more valuable items. That is definitely not something that even a declining economy won't feel. Demand is not down 20%.

 

[Chomsky]

Well I just know about 1 month that imports are down basically 20%. Meaning that is a lot of stuff that won't be sold at retailers or a lot of things that won't be used for production to make even more valuable items. That is definitely not something that even a declining economy won't feel. Demand is not down 20%.

Well if imports are down 20%, whatever percentage of that is Chinese would seem to remain for JUN.

I suspect the first to feel the pinch will be moms of school kids.

 

[Metric Mouse]

Was there a point I missed? Meanwhile the cost of eggs (Trump's favourite metric), has risen 49% and, contrary to Trump's lies, gas (petrol) prices are increasing, averaging $3.30.

What bullshit do you post?

AAA Fuel Prices

Gas prices are down from a year ago, and a month ago.

Why do you post such dumb lies?

 

[Hello My Son]

What bullshit do you post?

AAA Fuel Prices

Gas prices are down from a year ago, and a month ago.

Why do you post such dumb lies?

Yes, I pointed this out as well. Same thing with egg prices. Unsurprisingly, there has not been a response as of yet...

 

[OrphanSlug]

Great post.

But, I feel the need to address the bolded:

"Another quarter of decline", following the decline of the previous quarter, is indeed the textbook definition of a Recession!

Good point, I could have phrased that part much better.

 

[Chomsky]

Good point, I could have phrased that part much better.

Not at all! I posted an adjunct, not a criticism.

(you're one of the best & most balanced posters on the board)

 

[Taylor]

Was there a point I missed? Meanwhile the cost of eggs (Trump's favourite metric), has risen 49% and, contrary to Trump's lies, gas (petrol) prices are increasing, averaging $3.30.

Sorry it sucks so much for you across the ocean. That's certainly not what we're seeing in this country.

 

[Metric Mouse]

If Biden's spending caused inflation, it's curious that Trump's higher spending is continuing the drop in inflation that's been ongoing since 2022.

That's what's so great - inflation has fallen lower and lower, and is now below any point in Biden's entire term.

Whatever the cause, I think everyone knows this is good news.

 

[Metric Mouse]

gas is still $3.56 / gal in my area.

have not really noticed any real drop in food prices either.

AAA Fuel Prices

So lower than last year, yeah?

Great news for people who buy gas.

 

[iguanaman]

Look at the lefties being angry that inflation is being brought under control. They’d rather die of starvation because of Bidenflation than admit they were wrong.

Biden brought inflation under control it was under 3% when Trump took office . Trump's policies threaten to raise it back up again. Tariffs are a tax on all Americans that will drive up the price of everything. Oil prices have gone down because of the fear of a worldwide recession and if and when that happens we will be at the epicenter of it.

 

[StillBallin75]

Lol I love how the "Biden citing statistics showing the economy is actually not that bad is grossly out of touch" crowd is now blatantly trying to do the same thing x 10.

 

[iguanaman]

That's what's so great - inflation has fallen lower and lower, and is now below any point in Biden's entire term.

Whatever the cause, I think everyone knows this is good news.

Most all of the drop was due to lower oil prices due to the fear of a worldwide recession. America has gone from 2.5% GDP growth to negative 0.3% since Trump took office. That is not good news.

 

[Napoleon]

Most all of the drop was due to lower oil prices due to the fear of a worldwide recession. America has gone from 2.5% GDP growth to zero since Trump took office. That is not good news.

We watched the empty husk Mad Joe obliterate the economy for 4 years. It’s only been 4 months since he and the shadow government were deposed.