Inflation in the U.S. continued to moderate in June, as low gas prices and falling prices for new and used vehicles contributed to the first monthly decline in the Consumer Price Index since May 2020. According to the Bureau of Labor Statistics, the Consumer Price Index for All Urban Consumers (CPI-U) increased 3.0 percent over the last 12 months before seasonal adjustment - down from 3.3 percent in May and only the second time since March 2021 that inflation has dropped so low. Meanwhile core inflation, which excludes volatile food and energy prices, came in at 3.3 percent in June, which is also the lowest since April 2021.Due to its weight in the Consumer Price Index, the cost of shelter continues to be the main driver of inflation these days. Rents and owners' equivalent rents of residences increased 5.1 and 5.4 percent year-over-year in June, respectively, as the index for shelter climbed for the 50th consecutive month. In fact, excluding the impact of shelter, inflation would have fluctuated around the Fed's target level of 2 percent for the past year already, illustrating that housing costs have been the most stubborn driver of elevated inflation lately.[...]
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186 sats \ 3 replies \ @Undisciplined 12 Jul
That's not quite right. Continued credit creation to fund deficit spending is keeping inflation elevated.
Housing and gas are where inflation is manifesting in higher prices.
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77 sats \ 2 replies \ @0xbitcoiner OP 12 Jul
They must have different metrics, we have to be aware that the figures they present are made up and don't represent reality. For them, it's never the printing of money that causes inflation.
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72 sats \ 1 reply \ @Undisciplined 12 Jul
They're making the modern conflation of "inflation" with "increasing price level". Originally, "inflation" meant an increase in the money supply and price increases are its consequence.
It's a really useful distinction that should be more widespread.
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53 sats \ 0 replies \ @0xbitcoiner OP 12 Jul
This is a struggle I've had for a few years now when friends talk about it. It's that and leaving money idle in the bank.
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62 sats \ 2 replies \ @SatsMate 12 Jul
Where i'm at right now it is insane. It is about $700K for a middle of the road home here in North Phoenix. That's a $160K down payment when the average salary in this state is about $80K lol.
What's weird is prices are staying high/becoming elevated.
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13 sats \ 1 reply \ @gmd 12 Jul
Isn't it like 115 degrees out there as well? Crazy...
No incentive to bring prices down when everyone uses housing as their main investment vehicle. I guess prices will come down eventually with population collapse.
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99 sats \ 0 replies \ @Bell_curve 12 Jul
Phoenix was volatile in 2008 and 2012
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