Inflation has been raging out of control for months. Oil is at $100. Wheat is at record prices. Gold and silver at record prices. Gas is well on it's way to $3.50. Double digit increases in the price of food and utilities all across the land. All that has been going on since late 2006.
And yet here is the lead story from the MSM this morning:
The market has been preoccupied with the Fed's interest rate cuts, the health of the housing sector, and prospects for the broader U.S. economy. But new record highs reached Feb. 19 in crude oil and other commodities remind us that our old foe, inflation, may be ready to seize the spotlight yet againMay be ready to seize the spotlight? On what planet do these reporters live? I know the members of the MSM are by and large clueless about the world around them. But don't they ever go to a grocery store or get a utility bill or buy gas? I mean come on MSM, I know you can't be that obtuse.
This further shows what a sham "news reporting" has become. It is nothing more than press releases with added wording. Whether it is press releases from the Fed or from Jorge W. or from whomever. The process is take press release, add colorful title, print.
Once again for those of you tuning in late to the program. When the Fed cuts interest rates, the dollar weakens. When the dollar weakens everything becomes more expensive. The Fed has been cutting rates like crazy in a desperate (and futile) attempt to save the housing crash from accelerating. Benny B knows this but would rather save the bankers and Wall St than save the dollar from becoming a Peso del Norte. He has been laughably saying inflation was running at 2% annually for quite some time. I guess with gas hitting $3.50 he can't say that with a straight face anymore and finally has to come clean.