Here We Go Again – Inflation Rears Its Ugly Head
Here we go again – It is just starting folks.
Inflation at the wholesale level surged unexpectedly in January, reflecting sharply higher prices for gasoline and other energy products.
The Labor Department said Thursday that wholesale prices increased by 0.8 percent last month, the biggest gain since last July and well above the 0.2 percent increase that economists had expected.
The acceleration was led by a 3.7 percent surge in energy prices with gasoline prices jumping by 15 percent, the biggest gain in 14 months.
Even outside the volatile food and energy sectors, wholesale prices showed a bigger-than-expected increase, rising by 0.4 percent. Economists had expected a slight 0.1 percent rise in so-called core inflation.
We Will need another Ronald Reagan to rein in government spending to right the Obama/Democrat economy.
Technorati Tags: Barack Obama, Jimmy Carter, Inflation
3 Comments
Junior
Zombie Reagan can save us!
Antares Trader
Fortunatly, if inflation does become a problem, the fed can raise interest rates 2 full points and still be at historic lows.
Flap
And, the stock market will tank further. The inflation cycle is not pretty.
Been there done that.