The Golden Truth: Re: Inflation

Monday, October 25, 2010

Re: Inflation

Just got off the phone with someone who owns and operates a boutique food operation. Wholesale organic beef prices are up 22% in 10 days.

13 comments:

GaryMonday, 25 October, 2010
Bernanke doesn't consider the price of food when he measures inflation and he is way smarter than any of us. Besides, everyone knows that you can switch to cat food if the price of organic beef becomes a burden.

Relax bro. There is no inflation. We must fight deflation.
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Dave in DenverMonday, 25 October, 2010
LOL
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halMonday, 25 October, 2010
probably the transportation costs causing the increase--that's not in core either.

Has anyone besides me ever reported CPI and PPI to BLS?
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Dave in DenverMonday, 25 October, 2010
supply and demand. all the fiat money flooding the globe is increasing the demand for beef. transportation costs haven't gone up 22% in this year, let alone the last 10 days. The cost of fuel has been largely flat and the gas at the pump where I buy 91 octane has actually declined a bit in price this monht. inflation is a monetary phenomenon.
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AnonymousMonday, 25 October, 2010
The thing that amazes me is the lengths the government statisticians must have to go to to get the reported numbers so low. The fraud in official statistics closely matches the fraud in the mortgage market and both seem to be bubbling to the surface now. The day is going to come when people snap, but I thought it would be years ago, no doubt when it finally happens I'll be taken by surprise.
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AnonymousMonday, 25 October, 2010
Dave, BAC continues its death spiral. JPM to follow.
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halMonday, 25 October, 2010
I would think WFC would be ahead of JPM--but I am not the decider.
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Dave in DenverMonday, 25 October, 2010
JPM ain't goin' under. JPM is basically the Fed. BAC will be the sacrificial lamb. They stuffed Countrywide and MER, to of the biggest ticking timb bombs in the system. They will kill BAC, which they should anyway, monetize the viable assets and transfer the rest onto the Taxpayer balance sheet. WFC has the Buffet stamp on it, so I doubt it will be allowed to die.
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stephanTuesday, 26 October, 2010
" There are lies, there are outrageous lies and there are statistics " ....

Mark Twain
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bix1951Tuesday, 26 October, 2010
funny animal inflation....
22 years ago I needed a roof. It cost about $1,900. Now I need the same roof done again. This time the cost is $9,500. Five times as much!
500%.
I don't think the CPI has gone up 500% in the last 22 years. Or has it?
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BillTuesday, 26 October, 2010
Your thoughts Dave?

UPDATE 1-U.S. CFTC unveils new tools to stop manipulation

http://www.reuters.com/article/idUSN2612904620101026
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AnonymousTuesday, 26 October, 2010
boutique food operation! organic beef!!

Oh dear! What will all this mean to the price of my double latte mocha Cappuccino espresso with fat free goat's milk??? Oh! I fell faint! Whatever will I do? I think I will go to the Villa and pout.
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Dave in DenverTuesday, 26 October, 2010
Well bro, your basket of Asian manufactured generics you get at Walmart will be going up double digits as well...
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Why Gold?

Gold is the world's oldest currency. You exchange your fiat currency (dollars, euros, yen, yuan) into gold as an insurance policy against catastrophic Central Bank and Government policies which serve to destroy the value of fiat currencies and destroy democracy.

Gold can ONLY be considered an investment to the extent that it remains significantly and historically undervalued in relation to the fiat currencies against which its value is measured. Otherwise it remains the world's oldest currency and is completely free from the counterparty risk associated with currency by Government fiat (i.e. fiat currencies rely on a Government's "full faith and credit.")

Quote Of The Month Courtesy of "Jesse"

Unfortunately for Larry Summers, Ben Bernanke, and their friends at the BIS, they have not yet figured out how to print physical gold, silver, and other essential commodities, and the world is reaching the point where it might simply start ignoring the New York based markets with respect to essential commodities such as basic materials, oil, foodstuffs, and the like, as they become increasingly irrelevant, fraudulent, and Orwellian. And then where will the financial engineers be, except with no more excuses and no place to hide?

Here is the link to his entire commentary, well worth a read:

http://jessescrossroadscafe.blogspot.com/2010/07/gold-daily-chart-shock-and-awe-for.html

Great Quote From Jim Rogers On Govt CPI Reporting

JR: I mean, we have inflation now. If you go to the shop, whether it’s groceries, or education or insurance or health care, prices are going up for everything. The government lies about it in the US. Some countries lie, many countries don’t: Australia, China, India and Norway. Many countries don’t lie about it and acknowledge that we have inflation. Others lie about it, the UK and the US, but if you go shopping you know prices are up.

Q: Are you saying that the American Consumer Price Index (CPI) published by the US Bureau of Labor Statistics is a lie?

JR: In my opinion, yes, of course it is. Have you looked at it? They’ve changed their accounting several times in the past few decades. When housing was 20% to 25% of the CPI and housing was going up, they didn’t count it, saying rents weren’t going up, and then when home prices started going down, they counted it. It’s the same with many things. It’s staggering some of the tortuous reasoning that the BLS has used over the past 25 or 30 years. When the price of gasoline goes up, they say it’s not really going up because it’s better gasoline, better quality, therefore you’re getting more for your money. I mean, it’s endless, the stuff that they say and for some reason people sit there, although more and more people are catching on, and accept what the government says.

source: www.clusterstock.com

Quote of the Week

"The primary function of a Central Bank is to engage in the massive transfer of wealth from the middle class to the wealthy elite. The Federal Reserve was set up to do this with the blessing and support of Congress." - Dave in Denver

If you refuse to believe the above, please read "The Creature From Jekyll Island: A Second Look at the Federal Reserve" by G. Edward Griffin and then explain to me why the Senate voted down the Vitter Amendment and Congress refuses to pass a law requiring a full audit of the Fed, even though the Fed is using taxpayer-backed money to bailout Wall Street and Europe.