Inflation continues to surge

 Zachary Halaschak:

The White House is preparing for another bad inflation report after June’s skyrocketing energy prices.

A day before the release of June’s much-anticipated consumer price index report, senior White House officials tried to get ahead of the likely bruising numbers by arguing that the underlying economic situation is better than the headline inflation rate would suggest.

The officials told reporters that the month of June experienced the highest gas prices on record and that those prices have since moderated a bit. The headline CPI number, which is expected to be more than the 8.6% annual inflation experienced in May, does not reflect the current reality, one official said.

Gas prices rose above $5 per gallon in June for the first time in history, in large part due to the war in Ukraine. As of Tuesday, they had fallen to $4.66, which is high but a rapid decline from June levels.

Gas prices alone weigh heavily in headline CPI reports.

Gas prices averaged $4.48 per gallon in May and shot up to an average of $4.92 last month, a nearly 10% increase. One official predicted that the spike would result in about a half-percentage-point bump in June’s month-over-month headline inflation.

...

Gas prices are high because of Biden's idiotic restrictions on production.  The war would have had little impact on gas prices if Biden had not first reduced the supply by deliberate restrictions on drilling.  In fact, it is unlikely we would have had a war in Ukraine if Biden's restrictions had not driven up the world price and thereby funded Putin's war efforts in Ukraine. Biden's deliberate driving up the price of oil and gas has been a worldwide disaster.

See, also:

U.S. Prices Jumped More Than Expected in June, Data Show, in Spur to Fed

  • Prices in June climbed 9.1 percent from a year earlier, the fastest pace since 1981, as soaring prices made everyday life more expensive.
  • The pickup in prices was broad and faster than expected, spelling trouble for the Federal Reserve. Follow updates.

Comments

Post a Comment

Popular posts from this blog

Should Republicans go ahead and add Supreme Court Justices to head off Democrats

Washington Post: Some Democrats eye adding more justices to the Supreme Court to change its ideological bent The once-remote idea has gained the attention of liberals angered by the GOP push to remake the federal courts. Probably the easy way to defeat this court-packing scheme is for Trump to propose doing the same thing now.  It would lead to Democrat denunciations and claims that it would be wrong, thereby blowing up any attempt by them in the unfortunate event of Democrats winning a presidential election.
Read more

29 % of companies say they are unlikely to keep insurance after Obamacare

Conn Carroll: A new survey of 368 midsize to large companies found that 29% of them are considering terminating their active employee health care plans when Obamacare is full implemented in 2014. Only 71% of employers surveyed said they did not expect to drop their health coverage, while 20% said they did not know and 9% said they were planning to exit. The latest survey, conducted by Towers Watson, echoes an ealier survey by McKinsey & Co. finding that 30% of private-sector employers were planning to drop their employee health insurance coverage by 2014. When the Congressional Budget Office crunched Obamacare's spending numbers, they estimated that only 7% of employees currently covered by employer-sponsored plans would lose their plans. ... This means the cost of the health care fiasco will be hundreds of billions more than estimated by the CBO and Congressional Democrat. It is also clear that Obama's pledge that you could keep your health care plan if you wanted t...
Read more

Is the F-35 obsolete?

Headline USA: Pentagon Fires Back after Musk Calls Its Most Expensive Project ‘Obsolete’ 'Yeah, as I'm sure you can appreciate, Mr. Musk is, currently, a private citizen, I'm not going to make any comments about what a private citizen may have to say about the F-35....'   ... ... Drones appear to be replacing jets for many operations.  The Russia-Ukraine war is an example of that.  Drones are often hard to detect and can be used for intelligence operations as well as for attacking enemy targets.  It would not surprise me to see drones engaging other drones in combat.  They also cost much less than manned fighters.  
Read more