By Duncan Smith
Get ready, America, the Biden regime-caused inflation tsunami is coming and there isn’t anything that’s going to stop the economy-wrecking aftermath short of the re-adoption of all of President Donald Trump’s policies, and we know that’s not going to happen.
You have likely noticed that the prices of several things you buy a lot of — gas, food, lumber, for starters — have been steadily increasing.
Well, that wasn’t your imagination; that was real, and the government actually reported that straight on Wednesday.
CNBC has more:
Companies paid much higher prices to producers in April for everything from steel to meat in another sign of inflation in an economy rapidly recovering from the pandemic. The new data comes a day after a sharp gain in consumer prices sent the stock market reeling.
The Producer Price Index rose 0.6% from March, according to the U.S. Bureau of Labor Statistics. Year over year, the PPI spiked 6.2%, the largest increase since the agency started tracking the data in 2010.
Economists polled by FactSet were expecting a 0.3% monthly increase in April and 3.8% year over year.
So, roughly speaking, the PPI was about double what analysts were expecting.
But here’s the really bad news: The trend line is for more inflation, not less, and here’s why.
Biden and the Democrats are literally printing money to spend and to send out to Americans so they will spend it. Only, there isn’t as much to buy; goods are higher because they’re in shorter supply, and the excess money in the economy is acting as an inflator of prices for goods that are available.
From an intelligence report we get:
With this week’s Consumer Price Index (CPI) numbers up — a 4.2% year over year (YoY) jump, and a 0.9% month over month (MoM) increase — there’s no question that inflation is taking hold. The YoY inflation is less concerning due to the base effects of disinflation a year ago, although monthly increases in food and energy prices will weigh on economic growth. While the Fed says inflation will be “moderate and transitory,” there are some reasons to believe that inflation will finally hit the United States in a sustained way.
We aren’t in any position to tell Americans how to invest, but we are in a position to advise you to ask your own trusted investment advisers what to do about this tsunami of inflation coming, and soon.