Has inflation reached a peak? Three signs that prices could soon come down

[Gateman_Wen]

There's a satisfaction & security in owning things that are paid-off, especially vehicles & real-estate.

Plus when you live in a large metro area, there's comfort in driving an older car, in terms of freedom from worrying about potholes, parking dings, and possible theft or vandalism. I always have an older runabout in my stable for my, 'city car'! Especially given how The Queen frets over every minor ding & consequence to, 'her babies'!

Yeah, I drive around a 12 year old chrysler minivan most of the time. Folks are shocked when I pull up in the Porsche.

 

[Chomsky]

Headed out but later today, I'll try to bring up her show on youtube, and review where I heard that number and post it here.

No biggie.

But, do have yourself a good day! Enjoy!

 

[Chomsky]

Yeah, I drive around a 12 year old chrysler minivan most of the time. Folks are shocked when I pull up in the Porsche.

Haha!

-

Yep, I like to have multiple vehicles, segmenting them.

A small runabout for the city, a 4wd SUV to haul stuff, a car for fun, and a 'nice' car for going-out.

No car does it all. I like having the right tool for the job at hand!

 

[Common Sense 1]

Any reduction would be helpful. Ordinary
people are struggling today with all the price increases.

 

[Mycroft]

Has inflation reached a peak? Three signs that prices could soon come down

Inflation is at a 40-year high, and Americans are feeling it. Thankfully some analysts think that the burden could soon ease, and that we've reached an inflationary top.

www.cnn.com

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[The article is not long at all, so rather than providing 'synopsis' excerpts of a technical nature, I think the article is best read or skimmed in entirety]

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I think the article makes a reasonable case that inflation may have peaked, and is heading down. In fact, it presents quantitative evidence where inflation is already easing-up.

Giving a supposed time-frame of inflation normalizing in the 2nd half of the year, I suspect it has the possibility to give Democrats a much needed boost going into the mid-terms - if it comes to be.

--

Enjoy!

Well, that article is full of speculation. Me? I'll wait and see.

But keep in mind the definition of "inflation".

• A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money.
• The rate at which this increase occurs, expressed as a percentage over a period of time, usually a year.

https://www.wordnik.com/words/inflation

Regarding the first definition: They are talking about "purchasing power". If prices drop for certain individual items, such as used cars, that doesn't mean purchasing power has now increased/inflation has decreased. The prices for other items might continue to be high or even increase, which would keep purchasing power down.

Regarding the second definition: "over a period of time" This is important. For example, if compared to 2019 our current prices show massive inflation. But, if compared to the later part of 2021...when prices had already risen dramatically...the increase in later 2022 might show a lower percentage. People can say that "inflation is dropping" when the reality is that prices are still rising and purchasing power is still dropping.

My point is this: Be careful. Keep these points in mind when reading what someone is saying about inflation. They may be trying to gaslight you...or outright lie to you...by dishonestly talking about the numbers.

One of the best ways to individually determine if inflation is getting worse or better is through your personal experience. Are you able to buy what you used to buy? If yes...things are getting better. If no...then inflation is still ****ing you over.

 

[WIGDViking]

There's a satisfaction & security in owning things that are paid-off, especially vehicles & real-estate.

Plus when you live in a large metro area, there's comfort in driving an older car, in terms of freedom from worrying about potholes, parking dings, and possible theft or vandalism. I always have an older runabout in my stable for my, 'city car'! Especially given how The Queen frets over every minor ding & consequence to, 'her babies'!

I’ve always owned old trucks that I don’t mind bouncing of a tree from time to time.

And one I can fix with basic tools I can get at the local hardware store…

 

[Michael Cole]

I can't evaluate it in hard numbers, but in theory it could be right.

Only in the sense it frees up cash for other purchases. Depending where the money is spent, it could have an effect. If most of those forgiven are still in debt, and the cash pays that down, it won't have much of an effect at all.

 

[Chomsky]

Well, that article is full of speculation. Me? I'll wait and see.

But keep in mind the definition of "inflation".

​

• A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money.
• The rate at which this increase occurs, expressed as a percentage over a period of time, usually a year.

https://www.wordnik.com/words/inflation

Regarding the first definition: They are talking about "purchasing power". If prices drop for certain individual items, such as used cars, that doesn't mean purchasing power has now increased/inflation has decreased. The prices for other items might continue to be high or even increase, which would keep purchasing power down.

Fair enough.

Though it appears my article is speaking to the entire market as a whole.

Regarding the second definition: "over a period of time" This is important. For example, if compared to 2019 our current prices show massive inflation. But, if compared to the later part of 2021...when prices had already risen dramatically...the increase in later 2022 might show a lower percentage. People can say that "inflation is dropping" when the reality is that prices are still rising and purchasing power is still dropping.

Yes, what that would mean is the 'rate' of inflation is dropping.

Inflation is omnipresent, and in fact some inflation is good, whereas deflation is catastrophic. The whole idea is to have low steady inflation.

My point is this: Be careful. Keep these points in mind when reading what someone is saying about inflation. They may be trying to gaslight you...or outright lie to you...by dishonestly talking about the numbers.

One of the best ways to individually determine if inflation is getting worse or better is through your personal experience. Are you able to buy what you used to buy? If yes...things are getting better. If no...then inflation is still ****ing you over.

All good points. Thanks for your contribution.

 

[Gateman_Wen]

Haha!

-

Yep, I like to have multiple vehicles, segmenting them.

A small runabout for the city, a 4wd SUV to haul stuff, a car for fun, and a 'nice' car for going-out.

No car does it all. I like having the right tool for the job at hand!

The company has one more minivan, an older Taurus, and the two "trick" suburbans, and I personally have a full size truck, a small truck, and the two previously mentioned autos. The porsche comes out for the occasional sunday drive or a very occasional date.

 

[Chomsky]

Any reduction would be helpful. Ordinary
people are struggling today with all the price increases.

Ain't that the truth!

 

[Chomsky]

The company has one more minivan, an older Taurus, and the two "trick" suburbans, and I personally have a full size truck, a small truck, and the two previously mentioned autos. The porsche comes out for the occasional sunday drive or a very occasional date.

Everyone's got to have one 'nice' car, or one 'fun' car, or both! You only live once!

 

[Chomsky]

I’ve always owned old trucks that I don’t mind bouncing of a tree from time to time.

And one I can fix with basic tools I can get at the local hardware store…

I suppose I can see the wisdom in that!

Every garage & drive-way should have at least one beater, IMHO. There's a place in the world for reliable beaters. Hey, you'll never get car-jacked!

 

[trixare4kids]

Headed out but later today, I'll try to bring up her show on youtube, and review where I heard that number and post it here.

@Chomsky, my apologies. I was off a little.
I probably did hear this on Fox, but I heard it wrong. I was off on the figure by a point.

Biden canceling student debt would make inflation worse, experts warn

Several economic experts are sounding the alarm that inflation, which is sitting at 8.54%, become even more rampant should large swaths of student debt be forgiven by the federal government instead of being repaid.

www.foxbusiness.com

 

[WIGDViking]

I suppose I can see the wisdom in that!

Every garage & drive-way should have at least one beater, IMHO. There's a place in the world for reliable beaters. Hey, you'll never get car-jacked!

The best camouflage for an 800 dollar fly rod is a 200 dollar truck,.,

 

[Chomsky]

The best camouflage for an 800 dollar fly rod is a 200 dollar truck,.,

I've seen peeps with nice cars put them in the garage or further back in their driveways, leaving a beater in the front portion of the driveway blocking the exit of the nice car!

 

[Razoo]

how many will own homes recently purchased during this inflation rampage could owe more than
market value will bring?

 

[jnug]

Its really up to Powell at this point. Powell held off probably a bit longer than he should have and then hit interest rates with a sledge hammer. I really don't know why there is so much discussion of a soft landing though. There won't be any landing now for months and months.

The character of the landing will depend on what Powell does next and what happened in utterly screwed up China even more than what happens in Ukraine. Xi is lucky to be an autocrat. I would hate to have to run on his record.