Inflation Is Soaring – Americans Rightfully Concerned


1. US Inflation Suddenly Comes Out of Hibernation

2. Wholesale Prices Jumped Almost 10% In November

3. Americans’ Inflation Expectations Are Record High

4. Fed Chair Abandons “Transitory” To Describe Inflation


For most Americans under the age of 50, inflation has never been much of an issue. Yes, prices rose a little every year but that was considered normal. Price increases of 1-2% a year for most goods and services were to be expected.

People under the age of 50 were too young to fully experience the wild inflation of the 1970s and 1980s which saw the Consumer Price Index (CPI) soar to double digits. And over the last decade, the CPI has averaged less than 2%. So, until recently, most people didn’t think much about inflation.

Yet that’s changed this year. The CPI which averaged 1.2% in 2020 has jumped to nearly 5% so far this year. And it’s continuing to increase. The latest reading for November has prices increasing at a 6.8% annual rate over the last 12 months, the highest level in 49 years.

It’s true that worker wages have increased meaningfully this year. Wages jumped nearly 5% in the 12 months ended October. Yet with inflation rising at nearly 7%, the higher pay increases are still not keeping up with the rising cost of living. Most people are not getting ahead.