Login

Personal Finance

What Inflation Means to You: Inside the Consumer Price Index

Share on Facebook Tweet on Twitter

Posted by Jill Mislinski - Advisor Perspectives

on Tuesday, 16 May 2017 07:18

Note: The charts in this commentary have been updated to include Friday's Consumer Price Index news release.

Back in 2010, the Fed justified its aggressive monetary policy "to promote a stronger pace of economic recovery and to help ensure that inflation, over time, is at levels consistent with its mandate" (full text). In effect, the Fed has been trying to increase inflation, operating at the macro level. But what does inflation mean at the micro level — specifically to your household?

Let's do some analysis of the Consumer Price Index, the best-known measure of inflation. The Bureau of Labor Statistics (BLS) divides all expenditures into eight categories and assigns a relative size to each. The pie chart below illustrates the components of the Consumer Price Index for Urban Consumers, the CPI-U, which we'll refer to hereafter as the CPI.

9eabef2264f0afaf38b053c4e241ae80

....continue reading HERE

....related:

A Long-Term Look at Inflation



Banner

Personal Finance

Is Canada The Next Hot Money Victim?

Share on Facebook Tweet on Twitter

Posted by John Rubino - DollarCollapse.com

on Wednesday, 10 May 2017 08:26

One of the interesting things about the Great Recession was how Canada’s financial system sailed through it largely unscathed. Its banks were regulated wisely and behaved prudently, its citizens avoided the extreme stupidity of their credit-addicted neighbors to the south, and its government refrained from doubling its debt every eight years. It certainly looked like Canadians were smarter – or at least more emotionally mature – than we were.

But instead of Americans learning from Canada, Canadians appear to have concluded that we had it right after all. In the decade since the global financial system’s last near-death experience, Canadians have started to behave like turbo-charged Americans. A few recent examples:

Canadians Are Buying A Record Number Of New Cars, With A Record Amount Of Financing

(Better Dwelling) – Sales of new motor vehicles across Canada rose to an all-time record for February. 

Canada-new-car-sales-1

Average Sale Price For New Vehicles Rises
Consumers are purchasing more expensive vehicles too. Over $5 billion was spent on new vehicles for the month, bringing the average to $40,100 – up 3.4% from the same time last year.



Read more...

Banner

Personal Finance

17 Reasons Why You Should Own Gold

Share on Facebook Tweet on Twitter

Posted by Gary Christenson - The Deviant Investor

on Thursday, 20 April 2017 09:01

 

  • Gold has no counter-party risk in a 2008-style crash.
  • The continual devaluation of the US dollar is inevitable.
  • Gold will eventually return to its true historic role as money.
  • The destruction of government balance sheets, continual devaluations, and the widespread implementation of zero interest rate policies probably will result in hyper-inflation.
  • Central banks are nearing an inflection point where they no longer can supply the gold necessary to prevent rising gold prices.
  • Gold has survived governments, leaders, parliaments, central bankers, economic stupidity, graft, corruption, and wars.
  • Investment demand for gold is rapidly accelerating. The western world is in the early stage of a panic and “gold rush.”
  • There is growing recognition that many paper gold products are not backed by physical gold.
  • Mine supplies are not anticipated to rise for several years, if at all.
  • Eastern Central Banks are accelerating their purchases of gold.
  • Skepticism about official U.S. gold reserves is increasing.
  • Large short positions in futures markets must be reversed or “cashsettled.” (The paper suppression game cannot continue forever.)
  • Gold prices are climbing from their December 2015 low in an established bull market.
  • Up to $10 trillion (Doug Casey) in U.S. dollars may return to the U.S. and create dire inflationary consequences if global confidence in the dollar fades due to war, politics or economic policies.
  • A derivatives disaster is likely. Counter-party risk will rise again!
  • Long after most fiat paper and digital currencies have disappeared, gold will be used as money or backing for currencies.
  • Gold will rise to $10,000, or far more, depending upon government and central bank devaluation policies. Expect $10,000 in years, not decades. Read: “Buy Gold Save Gold! The $10 K Logic.

(This list was edited and adapted from an email blast by Tom Cloud).

....related: 

An In Depth Look at the Precious Metals Complex

 



Banner

Personal Finance

Why You Will Lose Your Job In The Next 5 Years, And What To Do About It

Share on Facebook Tweet on Twitter

Posted by Mad Hede Fund Trader via Seeking Alphavia Seeking Alpha

on Tuesday, 18 April 2017 07:00

tesla-assembly-lineSummary

Artificial intelligence and automation is accelerating far faster than anyone realizes.

It is all extraordinarily disruptive.

This will cause corporate profits to rocket and share prices to soar, but at the price of higher nationwide political instability.

Yes, it's happening.

And if you lose your job in five years, you will be one of the lucky ones.

It's possible that your job is already gone, they just haven't told you yet.

...continue reading HERE

...related from Michael Campbell:

The Numbers Exist - Time To Ring The Alarm Bell



Banner

Personal Finance

Marc Faber - How much Gold is Enough?

Share on Facebook Tweet on Twitter

Posted by Marc Faber -via Finance and Liberty

on Friday, 07 April 2017 20:13

Key Points in Faber's Worldwide Debt Bubble & Currency Collapse Interview:

- Ahead: a crisis worse than 2008 @ 0:54
- Young adults will earn less than their parents and die with less than their parents @ 2:56
- How to weather the hard times ahead @ 7:41
- How much gold is enough? @ 11:01
- What form of precious metals is best? @ 13:27
- Ed Note: This interview was done in 2016

 

Screen Shot 2017-04-07 at 7.51.45 PM

 



Banner

<< Start < Prev 1 2 3 4 5 6 7 8 9 10 Next > End >> Page 1 of 166

Free Subscription Service - sign up today!

Exclusive content sent directly to your Inbox

  • What Mike's Reading

    His top research pick

  • Numbers You Should Know

    Weekly astonishing statistics

  • Quote of the Week

    Wisdom from the World

  • Top 5 Articles

    Most Popular postings

Learn more...



Michael Campbell Robert Zurrer
Tyler Bollhorn Eric Coffin Jack Crooks Patrick Ceresna
Ozzie Jurock Mark Leibovit Greg Weldon Ryan Irvine