We noted last month the inflation issues were not going to get better and indeed they are getting worse. The Bureau of Labor Statistics (BLS) has released the latest inflation data, and the rate of inflation continues to increase at an alarming rate; now at 5% year over year for all items.
With only six months of JoeBama economic policy hitting so far, the rate of inflation is now four times larger under Biden than it was under Trump policies.
Everything the Biden administration is doing is making things worse, and now we are seeing big drops in real wages as the inflation rate is far beyond wage growth. Under Biden inflation is massive and wage growth is non-existent. This is an exact reversal of the Trump-era outcome where inflation was low and wage growth rates were high.
Year-over-year price comparisons for regular unleaded gasoline are now +58.2%. [Table 7] Stunning increases in fuel. Natural gas is up 13.5%. The prices of durable goods like furniture are up 9.8% while the prices for washers/dryers have jumped up over 26%. Used car prices are up 29.7%, while every durable good is showing massive increases (appliances, clothes, furniture, jewelry, etc). Even televisions are up almost 5%, after years of continually lower prices.
The May increase in energy prices “was the largest 12-month increase since the period ending April 1980”, over forty years ago. Yes, with 28% increases in overall energy prices Biden is mirroring Jimmy Carter in the outcome of his economic policy (this is not accidental).
Food prices are also skyrocketing. If you have tried to purchase lemons, limes or citrus recently you would know the BLS measure of May inflation for citrus products at 9% is low considering what you are seeing right now. Things are getting worse. [Table 7 Has the Details]
The rapid increases in price for food and gasoline are hitting the middle-class hard. As this continues it will most likely have a downstream effect on more luxury items and durable goods (which also cost more). Spend more on food/gas and you might not be able to purchase that new furniture you wanted. Durable good inventories increase and manufacturing layoffs in those sectors begin.
Despite institutional investors purchasing homes, it will be very interesting to watch how the overall housing market responds over the next few months. If the trendline continues we should see a considerable softening in home sales, again depending on region, as the inflation hits the working class. However, the investment class will swoop-in and purchase homes, turning owners into renters…. Yes, the Great Reset includes exactly this dynamic.
With Biden facilitating the economic plans of the wealthy ideologues and global elites, middle-class Americans are being turned into serfs.
I hope every household that has even one person that voted for Biden, is feeling it. Unfortunately Biden voters are either on welfare, government workers, or wealthy.
Or exist on paper or in computer codes only.
Lulu, about 60% of Biden voters belong to an “identity group” enjoying preferential treatment including the much respected Asian bloc and feminists. The wealthy have had their taxes cut by Reagan Republicans for 40 years now and returned their gratitude by importing cheap labor democrat voters.
Biden and his entire regime should be charged with TREASON. What they have done in the last few months is nothing less than to declare WAR on the American people.
I wouldn’t get too heated towards Uncle Joe, this man is not making these decisions. He is just a painting on the wall.
Whether “Uncle Joe” who I prefer to call Quid Pro Gropin Joe is or is not making these decisions, he is at this moment in time in the position called The POTUS and the figurehead for this nefarious administration. Screw him and everyone that voted for turning America into a 3rd world socialist hellhole.
Something else to add to the file. A former Chinese General turned Billionaire has been allowed, by the Biden decision makers, to purchase a 10×20 square mile Ranch in Texas Mexico border. The property contains a 4 to 5,000 foot runway that can be expanded to 10,000 feet. The Chinese invasion is about to commence.
A loaf of Brownberry Oat Nut bread just increased in price, by $1.00 in the dominant local grocery store chain. Its one of my few ‘treats’, at 65 I still bring peanut butter and jelly sandwiches to work, the bread makes it more palatable. Its time to rethink that one! This store is closer than Wally-world and I use it for a quick run. Time to plan better.
Blue collar union city in IL, gas at 3.59 for regular. Premium is now $4.15.
Washing all clothes in cold water now. No more warm.
You are the heart of America. Bless you.
Carter-era inflation (or stagflation) was horrible but he at least had a 70% top tax rate and a 14% rate starting as low as $2200.
I am in central NC. NC has a long history as timber state, especially pine. An 8′ 2×4 has gone from under $3 to over $8. I heard from a local heavy equipment operator that timber owners are getting premium prices selling to companies who debark the logs and cut them to fit for on-site loading into shipping containers for China.
Pine trim lumber which I use a lot of has tripled in price too, now is mostly from China, Vietnam, Chile and Finland. Yet we grow millions of tons of it right in our backyard.
Our local mills can’t compete on price leading to shortages – making matters worse. We pay triple for framing and trim lumber, processed and shipped both directions via China. The escalating lumber costs for an entry level home around here are adding 20% or more to construction cost.
This is not per chance.
I ask this seriously and with respect, when will it be enough? With the first Americans, the king sending the Hessians was the final straw for them to fight. What will it be for us? How much longer? It breaks my heart what is being done to our country. So I ask when?
Joe’s handlers are trying to bankrupt us.
They are working on the New World order crypto coin (yet to be named) backed by a basket of (worthless )paper currencies such as Russia, China, Euro and USdollar. Crypto makes it easier for the bankers to control things so the world elites can get their cut and the sheeple can be controled. Basel 111 now has banks stashing gold. You may want to consider some silver or gold for your own family security unless you trust the crypto.
I read yesterday that at the G7, Macron was calling on the other world leaders to sell their gold to finance what they want to do to Africa. I scratched my head on that one. Who would be so stupid during this unstable time, and who is going to buy it all?
I’m keeping the location of my boating accident secret.
It is fortunate that some are in a financial position to do so….unfortunately, many of us most affected (middle-class, especially childless and ineligible for extra subsidies and credits, but still paying for all the programs) are either “fortunate” and have some kind of pension ahead but therefore not much disposable income (teacher in a solid red state, with 15% automatically going into a state pension fund, like it or not) or — even more unfortunate citizens, without such a (voluntary or involuntary) plan, watching the price of everything rise and unable to put anything at all away.
Absolutely right that the controls keep getting tighter and individual choices keep getting fewer and farther between—without a lot of hope for the future.
The idea of investing in silver or gold is a good one — for those who have the option to even consider it….
Cloward-Piven on steroids!
I highly doubt Biden even knows where the bathroom is let alone running the country into the ground.
FYI – just reserved our vacation rental vehicle from Enterprise. The same 8 passenger SUV we got for a week last year for $800 is going to cost us over $1400 this year.
Just figured I should spread the word in case others may be looking for rental vehicles for vacations this summer.
Unfortunately, it’s hard to blame the price increase of car rentals on Biden. This started early last year during the nationwide shutdown. People were still taking vacations, but they were not using public transportation, planes, trains, bus. Instead they were renting cars like crazy especially the larger vehicles to haul their families around. With Hertz declaring bankruptcy, the remaining rental companies pared down their fleets too not anticipating demand would actually rise. The only rental company locations that really lost customers are the airports. The “local” offices are doing “land office” business. My husband works for a company that moves rental cars for Avis between their different locations. His job is officially listed as part-time. Since the end of Oct. 2020, he’s been working full-time. They can’t keep up with the demand for vehicles from their local offices.
So glad Ive decided to stop taxes and jump off grid.
We have been warned before ….. “Ye have sown much, and bring in little; ye eat, but ye have not enough; ye drink, but ye are not filled with drink; ye clothe you, but there is none warm; and he that earneth wages earneth wages to put it into a bag with holes.”
Haggai 1:6 King James Version
mauloa,
Unfortunately, we have kicked God to the curb, but He has the last word every time. A friend once told me that the more he tried to run from God, the more he came face to face with Him. I am so glad we have the Lord to turn to. I can’t imagine facing what’s going on in the world without Him.
Getting very hard to not see the policy benefits of Trump vs Obama/Biden to legal US citizens.
After only 5 months, Americans see clearly energy and inflationary and border security and Mideast policy were all better for Americans under Trump.
Americans see clearly? Half of the country has its eyes closed … or its head in the sand or somewhere else.
If I read the chart correctly the 58% jump in unleaded gas is biggest 12 month jump since 1980.
I look local; not buying that stat. There was a brief spike due to Xi-den inauguration hysteria, then settled back to below that but 10 to 15 cents above Trump. Then brief spike due to Memorial Day (not the Southeast Colonial hysteria), then back. Where is it 58% higher?
I think the blue states may be getting a purposeful break on the price – no idea how that could be working, but not seeing anything like this sort of spike here in blueMA either.
The CPI table used as an example doesn’t tell whether this is a localized dataset or nationwide. If you look up the CPI you will find that you can drill down to find stats by your state, local/metro area & county demographic. I don’t know what’s high enough for you to feel the pain, but the 33% +/- increase in my locality is more than enough for me. There’s more to come July 1 for us because with the CYA mentality of our state legislature they decided to double our gas tax last year and cement it by putting it on auto-pilot at the start of every fiscal year and tying it to the rate of inflation so they never have to vote on this tax increase again.
https://thepeoplescube.com/peoples-karaoke/inflation-s-born-t22296.html
Day one he closed down Keystone pipeline. Gas was cheap…Everything in our economy depends on cheap gas. Goods are shipped mostly by truck, NOT by rail. Petroleum is a main factor in our production of goods. The rising cost of energy… ,”effects” makes all our manufacturing or production costs also rise.
We were exporting gasoline !! It’s 1979 President Jimmy Carter’s failures repeated..
Vote democrats and their failures out and away…
P.S. we must eradicate vote fraud, or we’re finished..
Where are all the loud mouth, obnoxious left wingers who railed against Trump for 4 years now??!! You managed to fix the election and put this demented fossil with a 47 year history of accomplishing nothing into office, and now he is doing exactly what all of the normal Americans knew he would do….slowly destroy the country. While we are now circling the drain, the likes of AOC and the other socialists/communists are laughing and dancing, watching the country that they hate so much descend into chaos. They won’t be laughing for long if they finally get the civil war they seem to be begging for.
The Janet Yellen excuse, notice they never said what may inflation was in MSM,
“We noted last month the inflation issues were not going to get better and indeed they are getting worse. The Bureau of Labor Statistics (BLS) has released the latest inflation data, and the rate of inflation continues to increase at an alarming rate; now at 5% year over year for all items.”
Now this,
“The US economic rebound has pushed consumer prices up at the fastest rate in nearly 13 years, and used car prices alone were responsible for a third of of the 5% overall jump in May.
It’s a 180-degree turnaround in the market from a year ago, when many car dealerships were closed by the pandemic or limited to providing service and maintenance.
Massive job losses and a shift to working from home caused a 30% plunge in auto sales in the second quarter of 2020, the biggest quarterly decline since the Great Recession.
Now sales are booming, with May’s seasonally adjusted sales rate for new car sales to consumers rising 34% compared with a year ago, and up 10.6% compared with the more normal sales month of May of 2019.”