Inflation’s Collapse

[Taiga]

As expected pump prices have dropped locally quite a bit. Regular down from 1.89 to 1.69 and pump diesel fell by even more than that. There is something known as market forces which governments maybe powerless against. In that case party like it is 1930 again.

Where are you seeing diesel dropping, still over $2.15 here. I will get a farm price from coop this morning.

[jazz]

Errol is anticipating a collapse of fiat and Keynesian economics.

For the record, a study was done indicating the US could still easily double its debt and not risk a currency crisis.

So until that balance sheet gets to $50T, deflation is not a risk. Reversion to the mean is no deflation.

[errolanderson]

Markets are always right . . . .

[ajl]

Where are you seeing diesel dropping, still over $2.15 here. I will get a farm price from coop this morning.

Pump price for diesel in Sherwood Park at south side Shell $1.67. Noticed that it was quite a bit cheaper than most other places. WTI at $96 this morning. Local coop has gas for 1.69. Never know diesel price when filling slip tank until bill comes.

[jazz]

June CPI in today at 9.1%.

[biglentil]

Inflation is far from dead.

[agstar77]

Metal prices have collapsed. Oil down. Deflation is coming.

[jamesb]

Pump price for diesel in Sherwood Park at south side Shell $1.67. Noticed that it was quite a bit cheaper than most other places. WTI at $96 this morning. Local coop has gas for 1.69. Never know diesel price when filling slip tank until bill comes.

Got this offer this morning for a tanker load.

Commodity: Diesel, Ultra Low Sulphur Diesel (Dyed)
Price: $1.3180/L
Quantity: 45000 L
Delivery: Jul 13 to Jul 14

[Taiga]

Ordered fuel, 1.58/l for dyed from Coop this morning.

[errolanderson]

Total mis-judgement by central bankers. Markets are cratering and they are bend on hiking rates at the worst possible time. Inflation ahh . . . say that word in two months . . . .

[bucket]

I would just like to know how raising rates helps reduce inflation?

Those costs are all downloaded to consumer's price that they pay for everything making it more expensive to live.

Have they looked up the word inflation?

And if wages don't keep up, life is more unaffordable.

Macklem should not be fired , he should resign. He is supposed to look forward and prevent this.

He called a 2 percent increase in rates " hypothetical " in front of a finance committee not that long ago.

He was either lying or incompetent.

[errolanderson]

China’s 2nd quarter GDP came in down 2.6 percent. That is likely a light contraction number compared to reality. Global commodity fallout is a reflection of China’s economy. All industrial metals under heavy selling. Now a real estate mortgage bust in China.

U.S. inflation came in higher-than-expected @ 9.1 percent, but it’s wrong. CPI is a lag indicator. The horse is a long ways out-of-the-corral before government realizes it. Fallout in commodities is the lead indicator.

In the meantime both central banks and the IMF say inflation may begin to cool in 2023 as their inflation fighting policies kick-in. Guess they all attend the same parties.

[errolanderson]

Say inflation? Gold breaks below $1,690 per oz tonite . . . .

[Landdownunder]

Fallout in commodities is the lead indicator.

Lead indicator things turn good?

[errolanderson]

Fallout in commodities is the lead indicator.

Lead indicator things turn good?

Recent CPI data just released isn’t even relevant. Inflation likely peaked late April. Central bankers utterly lost . . . .