Eighteen months ago, I accused the Fed of
From "One Percent Wonder" to Five Percent Blunder?The Fed's inflation rhetoric today is just as misguided as its deflation expressions last year. Only nascent, disinflation pressures are visible:
- The real estate bull market is history.
- New capacity and demand destruction are bringing commodity prices back into balance.
- Many service prices are flattening after large increases.
- Even the government appears to be getting serious about health care costs.