I said this in May, and again in June.
“US Consumer Prices Soar”
U.S. consumer prices soar again and push CPI inflation rate to 13-year high.
The Federal Reserve, the entity that controls money flow and credit in the US, claims it is temporary…of course inflation is always temporary. The questions are how long, how high, and how much purchaing power will it rob from people, workers? The fed is whitewashing reality.
What creates inflation?
“Too much money chasing too few goods.”
Long-lasting episodes of high inflation are often the result of lax monetary policies, which we have seen in the US since “Quantitative Easing” of the last recession. We (the Federal Reserve) have never really addressed this as a nation.
If the US money supply grows too big relative to the size of the economy, the unit value of the dollar diminishes; in other words, its purchasing power falls and prices rise.
Do not buy the propoganda that inflation will not impact you.
During times of inflation, the best assets to own are “equity assets,” such as real estate.
Article from May.