***Biden wins presidency-Boy are we toast***

[CountValentine]

IIUC $100.72

Wouldn't it be pennies less than $100? I am going by unadjusted.

It is going to kill my I-bond interest.   


 

[aygart]

Here is another question to better understand. If in June a basket of CPI items cost me $100 what did those same items cost me in July?

My understanding is that if weighted the same as all items CPI it would have cost the same $100. If it was bought in June 2021 then in June 2022 it would cost $109 and if bought in July 2021 then in July 2022 it would cost $108.5

[aygart]

Wouldn't it be pennies less than $100? I am going by unadjusted.

It is going to kill my I-bond interest.   


 

I was looking at seasonably adjusted.

[CountValentine]

My understanding is that if weighted the same as all items CPI it would have cost the same $100.

Now if that stays the same for the next 11 months wouldn't inflation in July 2023 according to the CPI be zero?

[CountValentine]

I was looking at seasonably adjusted.

Ok that is fine. For 12 months I use seasonally and monthly unadjusted.

[aygart]

Now if that stays the same for the next 11 months wouldn't inflation in July 2023 according to the CPI be zero?

yes. It would mean the basket bought in June 2021 would remain at $109 in July 2023.

[CountValentine]

yes

Now there is not a chance in h*ll of that happening but July's CPI was a great number. This is why Biden claimed that in July we had zero inflation. He is getting hammered for it.

It would mean the basket bought in June 2021 would remain at $109 in July 2023.

That would be great news and you would get Biden for another 4 years. 

[aygart]

Now there is not a chance in h*ll of that happening but July's CPI was a great number. This why Biden claimed that in July we had zero inflation. He is getting hammered for it.

He is technically correct, but only because of the drop in gas. Once you remove that there was inflation on remaining items. So while it was great that gas is down that much, it is not so great that the drop in gas was entirely offset by the rise in the cost of other items.

[CountValentine]

but only because of the drop in gas.

Next month it might be because of the drop in lumber. Let's not play that game now as we are on the same page. 

[aygart]

Next month it might be because of the drop in lumber. Let's not play that game now as we are on the same page. 

0% inflation is great, but when it being zero is entirely based on one sector then the greatness is greatly diminished. Every other sector proceeded as it had until now. (As an aside, utility piped gas went right back up for August)

[aygart]

That would be great news and you would get Biden for another 4 years. 

Yup people have short memory. Better a 10% jump and then zero than a 1 percent jump straight through.

[CountValentine]

0% inflation is great, but when it being zero is entirely based on one sector then the greatness is greatly diminished. Every other sector proceeded as it had until now. (As an aside, utility piped gas went right back up for August)

Gas can keep dropping. Other things can drop next month. We had zero inflation last month and that is great news.
Let's wait until next month and we will revisit this. The political based posts on these numbers is getting only.

As per the title I hope we have more of this toast. 

[yuneeq]

0% inflation is great, but when it being zero is entirely based on one sector then the greatness is greatly diminished. Every other sector proceeded as it had until now. (As an aside, utility piped gas went right back up for August)

Gas prices affect a lot of other sectors but the impact isn’t seen right away. However, the increased prices on something like groceries is much stickier, and unlikely to go down much without a recession.

[CountValentine]

Gas prices affect a lot of other sectors but the impact isn’t seen right away. However, the increased prices on something like groceries is much stickier, and unlikely to go down much without a recession.

Groceries don't need to go down. We just don't want them to keep going up like they have been.

[yuneeq]

Groceries don't need to go down. We just don't want them to keep going up like they have been.

That's a reasonable opinion if you can still afford basic necessities. The middle class struggling to pay bills would say otherwise.
Wage growth the past 2 years is far behind inflation and has plenty to catch up before they will be comfortable again.

Don't forget how the nation was sold on "transitory" inflation for a long time.

[CountValentine]

That's a reasonable opinion if you can still afford basic necessities. The middle class struggling to pay bills would say otherwise.
Wage growth the past 2 years is far behind inflation and has plenty to catch up before they will be comfortable again.

You bring up another problem that has to be solved. The point I am making is the right is trying to twist great numbers like they tried with the jobs/UE numbers. Give the guy credit!!!

[CountValentine]

Don't forget how the nation was sold on "transitory" inflation for a long time.

I am not sold on anything and hope everyone here isn't either. Applauded great numbers when we have them.

[yelped]

I'm very glad gas prices is down (partially), and I hope other things go down, too, but right now, most people are getting hit left and right with massive price increases and people need much more stability in order to be comfortable with their financial situation.

[CountValentine]

I'm very glad gas prices is down (partially), and I hope other things go down, too, but right now, most people are getting hit left and right with massive price increases and people need much more stability in order to be comfortable with their financial situation.

Need to wait for the next numbers.

[yuneeq]

You bring up another problem that has to be solved. The point I am making is the right is trying to twist great numbers like they tried with the jobs/UE numbers. Give the guy credit!!!

Celebrate the "great" numbers all you want, similar to likes they don't put food on the table.