[Woebama]

But half the snarky con-econ-free-market geeks here at FR told me we were going into a deflation when I said there would be inflation. Not that I am a I told you so sort of guy.

I’m not.

Really.

Even if I told you so.

Which I did.

[Ciexyz]

Swell. No COLA in my pension check for 2010 and 2011 because SS people will not get their COLA. Gas and heating prices jumping. Med prices going up, health care changing to Lord knows what. Sense of disquiet, indeed!

[blam]

Top 5 Graphs of the Week: Inflation in U.S. and Europe, U.S. Retail, China Trade, Australia Jobs

2. European Inflation, slowly reviving
The EU released its December inflation figures, revealing a further pick-up in headline rates (thanks again to the commodities boom and bust), while core inflation showed a tentative bottoming out with 1.1% vs 1.0% in November. The European Central Bank also released its statement on monetary policy this week where it ruled out any near term inflationary pressure, noting that rates remain appropriate for keeping inflation below the 2% target in the near to medium term. Given that the economic outlook for Europe remains relatively subdued with risks to the upside and downside reasonably balanced, a view of inflationary pressure not being excessive is probably about right.

[MCF]

To me this does not mean much by its self. What I would like to see is comparisons of necessary and often purchased goods food, energy, clothing, medicine ECT. and the average income of working private sector employees. This is the real indicator. Is it really deflation if the price of necessities drops 2% but average take home income drops 3%?

[darth]

Call me a Tin Foil Conspiracy Theorist, but I think that a DEFLATIONARY COLLAPSE could be engineered to complete the FLEECING OF THE RUBES.

I smell manipulation in many markets including debt, equities, and precious metals.

For example, what if Obama and his gang of Wall Street cronies with help from the Fed held down precious metals prices until large numbers of conservatives put a significant part of their portfolios into metals. Then they could pull the plug on the too-big-to-fail banks as welll as the markets and allow the entire economy to go into free fall. In the end, the insiders who hoarded cash will go on a buying spree picking up real estate, stocks, companies, etc. while leaving a large percentage of our population bankrupt and more dependent than ever on government handouts.

Their motives always revolve around POWER and MONEY. Ideology is secondary. They have the power; why would they not use it?

[greeneyes]

Well, three necessities of Milk bread and toilet paper are up 38% since 9/2008. Some food items are up even more. My generic drug for hypertension went up 66.6%. I am amazed that the CPI is so low.