The Real Rate of U.S. Inflation Is Now 13%
August 26th, 2008In case you don’t understand why there are so many exclamation points in the piece below, they are an essential part of the The Mogambo Guru’s style manual.
Via: Contrarian Profits:
When you look at what John Williams at shadowstats.com calculates as inflation, according to the time-honored method of actually looking at real prices instead of the “qualified estimates” that are used today, you will see that annual inflation in consumer prices is actually running at over 13%!
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Mr. Cherniawski coolly says that I don’t know the literal half of it, as “The alarming part of this report is the acceleration of inflation in the past 3 months. While the unadjusted rate for the past 12 months was 6.2%, the 3-month annualized rate of increase was 11.9%.” Yikes! We’re freaking doomed!
The report itself noted, without any hint of alarm, that “On a seasonally adjusted basis, the CPI-U advanced 0.8 percent in July, following a 1.1 percent increase in June.” Yow!
Some of the terrifying specifics were that the energy index rose 4%, which accounted for “about half of the overall increase in the all items index.”
The worse news for people who eat food is that “the food index rose 0.9 percent in July after rising 0.8 percent in June. Indexes for five of the six major grocery store food groups rose at least 1.0 percent.” In one freaking month! This is outrageous inflation!
