Can’t Hide From The CPI

This is a syndicated repost courtesy of Alhambra Investments. To view original, click here. Reposted with permission.
On the vital matter of missing symmetry, consumer price indices across the world keep suggesting there remains none. Recoveries were called ‘V’ shaped for a reason. Any economy knocked down would be as intense in getting back up, normal cyclical forces creating momentum for that to (only) happen.
In the context of the past three years, symmetry is still nowhere to be found. It’s confounding even central bankers who up until all this have been especially immune to contrary evidence. The unemployment rate tells them what they want, so everything else be damned.
The US CPI in October 2017 rose 2.04% above the index for October 2016. That’s a slight deceleration from 2.23% inflation in September, despite another energy price boost.

This post was published at Wall Street Examiner on November 15, 2017.