U.S. annual inflation rate drops to 8.5% • Hacker News Board

Re: U.S. annual inflation rate drops to 8.5%

#211

Post by silicon2401 » Wed, Aug 10, 2022, 2:08 PM UTC

lettergram wrote: post #131

post_break wrote: post #36

Good news I guess. But my electricity price literally doubled. My house insurance is up 30%. My gas bill is up by a lot. Have you seen the price of oreos? The $5 box at Taco Bell is my splurge and I'm trying to cut back on everything I can.

The inflation on food due to high fuel and fertilizer prices won’t really kick in until October -> February during harvest. Next year food will be far higher, largely due to - people skipping fertilizer a second year in a row - the feed price increases from year prior will impact next years meat - much of the cow herds have been reduced due to hay prices skyrocketing (but beef rates staying far lower, due to sell off…

if food production is getting more expensive, would that make this a good time to invest in companies that produce chemicals used in fertilizer?

Re: U.S. annual inflation rate drops to 8.5%

#212

Post by xedrac » Wed, Aug 10, 2022, 2:08 PM UTC

lettergram wrote: post #131

post_break wrote: post #36

Good news I guess. But my electricity price literally doubled. My house insurance is up 30%. My gas bill is up by a lot. Have you seen the price of oreos? The $5 box at Taco Bell is my splurge and I'm trying to cut back on everything I can.

The inflation on food due to high fuel and fertilizer prices won’t really kick in until October -> February during harvest. Next year food will be far higher, largely due to - people skipping fertilizer a second year in a row - the feed price increases from year prior will impact next years meat - much of the cow herds have been reduced due to hay prices skyrocketing (but beef rates staying far lower, due to sell off…

> if Ukraine doesn’t surrender

I think you mean if Russia doesn't surrender. If Ukraine was to surrender, we'd have bigger problems than an increase in beef costs. I don't see any universe where Russia wins this war.

Re: U.S. annual inflation rate drops to 8.5%

#213

Post by upupandup » Wed, Aug 10, 2022, 2:08 PM UTC

soupfordummies wrote: post #193

Some random things I've noticed in my personal experience during the last few weeks that are inflated at way above 8.5%: Gasoline (gallon) - 3.00 last summer, 3.75 today (25% increase) Towing a Car (~50mi Round Trip) - 125 last summer, 350 today. (180% increase!) Bag of Dorito's - 4.50 last summer, 6 today (33% increase) Can of Spray Paint - 4.25 last Summer, 6.50 today (54% increase)

No post body was provided.

Re: U.S. annual inflation rate drops to 8.5%

#214

Post by fuoqi » Wed, Aug 10, 2022, 2:08 PM UTC

lettergram wrote: post #131

post_break wrote: post #36

Good news I guess. But my electricity price literally doubled. My house insurance is up 30%. My gas bill is up by a lot. Have you seen the price of oreos? The $5 box at Taco Bell is my splurge and I'm trying to cut back on everything I can.

The inflation on food due to high fuel and fertilizer prices won’t really kick in until October -> February during harvest. Next year food will be far higher, largely due to - people skipping fertilizer a second year in a row - the feed price increases from year prior will impact next years meat - much of the cow herds have been reduced due to hay prices skyrocketing (but beef rates staying far lower, due to sell off…

>Russia is not likely to renew trade relationships baring a reparations for seizing assets

Russia is quite ready to sell on the following conditions:

- Remove sanctions which forbid (or make it difficult) the Russian export in the first place.

- Pay in rubles (i.e. you have to "sterilize" your cache through the Moscow stock exchange) like was done with the gas export to Europe.

- Remove sanctions which forbid export to Russia. It has no interest in selling stuff to the West, if it can not buy the stuff it needs in exchange. We already can see that its export-oriented economy sectors suffer from the strong ruble.

Russia has answered to the frozen reserves by freezing financial assets owned by foreigners. Interestingly enough, both numbers are quite comparable to each other.

Re: U.S. annual inflation rate drops to 8.5%

#215

Post by snapcaster » Wed, Aug 10, 2022, 2:09 PM UTC

eldenwrong wrote: post #197

bombcar wrote: post #165

Earlier quoted context omitted.

There's no way to do "the main inflation number" and make everyone happy - because they have to try to find some way to include housing, and that either drags it way up or way down relative to how you "feel". If all other prices double, but you own or have fixed rent, you're going to feel it but the numbers will be muted; if all prices stay the same but your rent doubles, you're still going to feel it but the numbers…

The official measures have always been BS. Its obvious to everyone now. Hedonic adjustments + flat out replacing expensive items for cheap items was always retarded

But they have to do something like this right? I mean, consumption patterns have obviously changed since the 1960s. I understand maybe the way they adjust isn't correct but if you think this is a really easy problem you probably haven't considered it enough

Re: U.S. annual inflation rate drops to 8.5%

#216

Post by ericd » Wed, Aug 10, 2022, 2:09 PM UTC

pojzon wrote: post #180

rootusrootus wrote: post #161

Earlier quoted context omitted.

Seems like EV uptake rate, while still just a fraction of total sales, is probably high enough to contribute to demand destruction. Gas prices have come down pretty fast. I wonder if EV adoption goes fast enough that we'll see a period of time when gas prices just crater for a while. A sweet spot of owning an ICE vehicle, but then gas stations will start to close up and ICEV owners could face the same problem EV owne…

When ppl talk about EVs overtaking petrol all I can do is shake head. Infrastructure is not there and is not going to be there for EVs for a long time. Its not only gas stations but also power plants, transit cables, personel, supply chains, technology, laws and other. If we make good investments it will take around 50 years in some developed EU countries to reach appropriate infrastructure levels. In less developed…

Oh, not this again. If you have a standard household outlet accessible where you park, you probably don’t need charging stations outside of road trips, because you’ll be getting 60+ miles of charge overnight. The load at a given time is like a third that of a central air conditioner. I think we can handle it.

Re: U.S. annual inflation rate drops to 8.5%

#217

Post by shmatt » Wed, Aug 10, 2022, 2:10 PM UTC

latency-guy2 wrote: post #203

shmatt wrote: post #48

Earlier quoted context omitted.

Quoted post unavailable.

So, why did these greedy companies not raise prices to this rate when times were good? Surely there's more money exchanging hands when times are fine and dandy.

The whole point of this inflation is, times ARE good. People have too much money to spend, the job market is too hot, which is why the fed is raising rates so fast

When times are bad, McDonalds sales go way down, then they re-introduce the $1 menu

Re: U.S. annual inflation rate drops to 8.5%

#218

Post by tmikaeld » Wed, Aug 10, 2022, 2:10 PM UTC

lettergram wrote: post #131

post_break wrote: post #36

Good news I guess. But my electricity price literally doubled. My house insurance is up 30%. My gas bill is up by a lot. Have you seen the price of oreos? The $5 box at Taco Bell is my splurge and I'm trying to cut back on everything I can.

The inflation on food due to high fuel and fertilizer prices won’t really kick in until October -> February during harvest. Next year food will be far higher, largely due to - people skipping fertilizer a second year in a row - the feed price increases from year prior will impact next years meat - much of the cow herds have been reduced due to hay prices skyrocketing (but beef rates staying far lower, due to sell off…

> - if Ukraine doesn’t surrender, we can expect less food production

I doubt that Russia would prioritize food production if they win the war, considering the huge list of "enemies" they've added to their list.

Most likely, they send food production to allies and they'll attack the next neighboring country in a few years by keeping exports (Gas/food) towards "enemies" at a minimum.

Re: U.S. annual inflation rate drops to 8.5%

#219

Post by jliptzin » Wed, Aug 10, 2022, 2:11 PM UTC

radioactivist wrote: post #97

So the year over year CPI increase each month this year (starting from January) was 7.5%, 7.9%, 8.5%, 8.3%, 8.6%, 9.1%, 8.5%. So this value has been jumping around a bit as it has been going up. This drop is being taken as good news -- but I worry whether this is really a meaningful drop or whether we are just over interpreting what could be a fundamentally noisy metric?

Avg gasoline prices are down 20% in 2 months. Is that noise?

https://ycharts.com/indicators/us_gas_price

Re: U.S. annual inflation rate drops to 8.5%

#220

Post by upupandup » Wed, Aug 10, 2022, 2:11 PM UTC

jacknews wrote: post #201

Quoted post unavailable.

This is just going to push people further and further away into fringes and extremist views when they are lied to.

We are truly on our own now. Our government no longer serves the people but a smaller proportion of people that gets their representatives elected to spread lies about everything.

This garbage inflation number is just the beginning. Who knows what other absurdities they are willing to push to the public and punish people? I'm already seeing people who don't buy this number getting flagged on HN which is bound to have lot of affuluent ppl that benefit by pushing this number.