[expat_panama]

Wage growth?  Really?  Sure it makes a lot of sense but somehow everyone overlooks wages when they talk inflation and by considering PCE ("consumption") I'd thot that the Fed was following suit.   I'm glad; we can't be looking at inflation w/ the overall economy w/o considering wages too.  Even better of course would be the GDP deflator but that only comes out quarterly --w/ a delay and w/ revisions.  PCE + wages sounds best.

Ever notice how freepers just looove to say we got 'runawayhyperinflation' and when I ask if their incomes are soaring they say say wages have nothing to do w/ inflation.  Rush was saying that too --"...we got horrible inflation and stagnant wages..." and that's when I switch back over to Dennis Prager.

[Wyatt's Torch]

Right. It’s the lack of strong wage growth that is the key indicator as to why there is zero reason to tighten.

If you remember all last year I said there wasn’t reason to tighten but the Fed would in December just to show they would when necessary. Nothing has changed since then. Ditto for 16.