Inflation soars 1.2% as CPI rises

[zendari]

Originally posted by: Engineer

No, I'm not. You're trying to throw out the 1.1% blip just to make inflation look closer to 2004 but in reality, you can't. Just as I can't throw it out in real life, you can't take it out to make your stats look better either. You don't get to pick and choose. It's not irrelevant at all.

This stat is irrelevant. Check the numbers at the end of the year.

 

[Thump553]

Personally I fully expect inflation to start surging. Fuel prices are a component of nearly everything you purchase (you think the lettuce walked to the grocery store you buy it from?) that price pressure is inevitable on a broad front.

 

[Engineer]

Originally posted by: zendari

Originally posted by: Engineer

No, I'm not. You're trying to throw out the 1.1% blip just to make inflation look closer to 2004 but in reality, you can't. Just as I can't throw it out in real life, you can't take it out to make your stats look better either. You don't get to pick and choose. It's not irrelevant at all.

This stat is irrelevant. Check the numbers at the end of the year.

Do the inflation numbers follow a "fiscal" year or do they follow the calander year? If fiscal, then 2005 is over as Sept. 30th was the last day.

 

[Pabster]

Originally posted by: dmcowen674
Are you claiming energy prices will drop???

I don't know long-term, but energy prices took a pretty significant drop Thursday. And regular unleaded gas is even cheaper here now than it was pre-Katrina (around $2.35/gal).

Despite your daily predictions of gloom and doom, life goes on, Dave.

 

[ntdz]

Originally posted by: dmcowen674

Originally posted by: RightIsWrong
Topic Title: Inflation sores 1.2% as CPI rises
Topic Summary: Biggest increase in 25 years

Edit: Title

Title needs another edit.

I know inflation is a "sore" subject to Republicans as they claim it doesn't exist but the fact remain inflations is "SOARING"

so please change title to Inflation soars 1.2% as CPI rises

Haha, RightIsWrong owned by Dave.

 

[dmcowen674]

Originally posted by: Pabster

Originally posted by: dmcowen674
Are you claiming energy prices will drop???

I don't know long-term, but energy prices took a pretty significant drop Thursday. And regular unleaded gas is even cheaper here now than it was pre-Katrina (around $2.35/gal).

Despite your daily predictions of gloom and doom, life goes on, Dave.

What energy proces took a pretty significant drop Thursday???

I have seen reports of Natural Gas 50% higher than last year and last year it was a huge % higher than the previous year.

As far as Gasoline, so $2.35 is cheap gas now?

It is cheaper than here in New Orelans where it is avergaing $3.09 for regular.

Either way it is still gloom and doom for the little folks that it hurts to spend $50 to a clip to fill a tank, for Rich Republicans like many on this board it is just a couple pennies more and don't feel it.

I don't expect the Republicans on here to see it, they don't care about anyone other themselves.

 

[Pabster]

Originally posted by: dmcowen674
What energy proces took a pretty significant drop Thursday???

Natural Gas, Heating Oil, and Unleaded Gasoline. I can't recall the exact % figure but it was pretty significant in those terms.

I have seen reports of Natural Gas 50% higher than last year and last year it was a huge % higher than the previous year.

The media has exaggerated it as much as 70% higher which is ludicrous. I think 40-50% is a much more realistic expectation.

As far as Gasoline, so $2.35 is cheap gas now?

Compared to $3.10+, yes.

Either way it is still gloom and doom for the little folks that it hurts to spend $50 to a clip to fill a tank, for Rich Republicans like many on this board it is just a couple pennies more and don't feel it.

High energy prices put a dent in everyone's pocket. Some can weather the storm better.

I don't expect the Republicans on here to see it, they don't care about anyone other themselves.

 

[dullard]

Originally posted by: Helenihi

Originally posted by: dullard
Dec 2003: 1.88% higher than Dec 2002
Dec 2004: 3.26% higher than Dec 2003
Sept 2005: 4.69% higher than Sept 2004

If not for the one month blip 2005 inflation is the same as 2004. 4.6 - 1.1 = 3.5.

Take the numbers for last month (Aug 2005) compared to that of lasy year (Aug 2004): 196.4/189.9 -1 = 3.64% increase. There is still a pattern. 1.88%, 3.26%, 3.64%. It isn't a lot higher, but it is still higher than 2004. And that is even if we let you just pick and choose a month to throw out.

 

[Engineer]

Wholesale inflation jumps 1.9% in September.

 

[dmcowen674]

Originally posted by: Engineer
Wholesale inflation jumps 1.9% in September.

/Republican Mode On

It's all still Clinton's fault

/Republican Mode Off

 

[alent1234]

people don't have anyone to blame for this but themselves. Reading fatwallet and other forums a lot of people said they won't trade in their car but will weather high gas prices by cutting back in something else like DVD's. And this is exactly what is happening.

 

[Pabster]

The blame is to be evenly distributed. No one entity or group is responsible for the current state of affairs (read: extreme dependence on foreign sources of energy). As much as Dave and company would like us to believe it's all the Republicans fault. After all, generations of Democrats have passed through Washington and done absolutely nothing to further the cause.

The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

 

[zendari]

Originally posted by: Pabster
The blame is to be evenly distributed. No one entity or group is responsible for the current state of affairs (read: extreme dependence on foreign sources of energy). As much as Dave and company would like us to believe it's all the Republicans fault. After all, generations of Democrats have passed through Washington and done absolutely nothing to further the cause.

The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

Had Clinton pushed ANWR at the beginning of his term we would be seeing cheap oil now.

 

[Pabster]

Agreed, the Democrats obstruction of ANWAR hasn't helped. But that's hardly the solution to the entire problem...

 

[Engineer]

Originally posted by: zendari

Originally posted by: Pabster
The blame is to be evenly distributed. No one entity or group is responsible for the current state of affairs (read: extreme dependence on foreign sources of energy). As much as Dave and company would like us to believe it's all the Republicans fault. After all, generations of Democrats have passed through Washington and done absolutely nothing to further the cause.

The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

Had Clinton pushed ANWR at the beginning of his term we would be seeing cheap oil now.

To answer that, I'm shockingly quoting Dave...

Originally posted by: dmcowen674

Originally posted by: Engineer
Wholesale inflation jumps 1.9% in September.

/Republican Mode On

It's all still Clinton's fault

/Republican Mode Off

 

[dirtboy]

Originally posted by: Pabster
The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

I actually don't think we're slaves to OPEC or the Middle East. Now I know a bunch of people are going to flip out about that statement, so relax.

Regardless of whatever price they charge for their resource, it will eventually run out. And then what? hmmm...? Where are they going to get all their money? In the meantime, we use our resources last, meaning we have extra time to come up with alternatives.

As oil prices rise, the cost to develop and produce alternatives becomes more feasable. As long as there is cheap oil, it doesn't make sense to develop alternatives that will produce a more expensive fuel.

I say we keep importing oil, because they need us as much as we need them. They raise their prices too high, demand will drop and alternative research will begin. Keep it low and they keep getting money.

Sadly, there is too much intelligence in this response for the average member and it will mostly solicite trollish responses. To save you all the effort, I'm including some Dean talking points.

Bush is evil.
You are a friend of the oil thugs, I hate you.
If a Democrat was in office, gas would be 10 cents a gallon.
Driving is only for rich Republican's like you.
I'm too dumb to understand what you're saying and I blame that on Bush.

 

[RightIsWrong]

Originally posted by: dirtboy

Originally posted by: Pabster
The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

I actually don't think we're slaves to OPEC or the Middle East. Now I know a bunch of people are going to flip out about that statement, so relax.

Regardless of whatever price they charge for their resource, it will eventually run out. And then what? hmmm...? Where are they going to get all their money? In the meantime, we use our resources last, meaning we have extra time to come up with alternatives.

As oil prices rise, the cost to develop and produce alternatives becomes more feasable. As long as there is cheap oil, it doesn't make sense to develop alternatives that will produce a more expensive fuel.

I say we keep importing oil, because they need us as much as we need them. They raise their prices too high, demand will drop and alternative research will begin. Keep it low and they keep getting money.

Sadly, there is too much intelligence in this response for the average member and it will mostly solicite trollish responses. To save you all the effort, I'm including some Dean talking points.

Bush is evil.
You are a friend of the oil thugs, I hate you.
If a Democrat was in office, gas would be 10 cents a gallon.
Driving is only for rich Republican's like you.
I'm too dumb to understand what you're saying and I blame that on Bush.

Minus the talking points at the end....I agree with a lot of what you had to say. I would like to add that I think that the only thing that will keep us afloat is to develop that alternative source sooner rather than later.

The part of yours that I would question is the population's disdain for the cost of development. I believe that a majority of people on the left and more and more on the right are desiring that alternative right now. And that the short term price tag of the conversion would be worth the price.

Sadly, I think that the politicians on both sides are more dependant on foreign oil (at leaast the campaign donations that it brings them) and will delay that conversion for longer than it need be.

 

[dullard]

Originally posted by: Pabster
The fact is that until we start drilling HERE and getting our energy closer to home, building new refineries, we will continue to be slaves to OPEC and the Middle East oil Barons.

The source of oil would have a small but not very significant impact on energy prices. We have plenty of oil, just no refinery capacity to do anything with that oil.

New refineries would really help, but that is 10+ years down the line even if the planning started today.

The real way to have a quick impact is to free up government red tape and let CURRENT refineries expand capacity. Yet I've seen no politician on either side of the aisle attempt to do this.

OPEC at the moment has absolutely zero power. They are producing at maximum capacity. Thus they have no ability to withhold oil. Thus they have no impact on oil prices at the moment. Thus we are not slaves to OPEC at the moment.

 

[dirtboy]

Originally posted by: RightIsWrong
The part of yours that I would question is the population's disdain for the cost of development. I believe that a majority of people on the left and more and more on the right are desiring that alternative right now. And that the short term price tag of the conversion would be worth the price.

A year ago nobody cared about alternative energy. Now Bush is being blamed for us not having any alternatives. Go figure.

Consumers change their wants faster than the market can react. Let's face it, if hydrogen cars were available, but they cost $10/gal to fuel, nobody would buy them.

Now we are seeing more and more companies publicly announce their small alternative fuel programs that are going to get more funding. We're seeing more companies embrace hybrid technology, even though most automotive manufacturers believe that there are better alternatives in the works. We are seeing tax breaks for solar power and other alternative energy for homes.

It's starting to happen, but if gas dropped back to $1.00/gallon, nobody would care again.

It will be interesting to see what happens. OPEC needs cheap oil as much as we do. If costs stay where they are at or rise, we'll here more talk of alternative energy. If they drop, talk will go away.

 

[dullard]

Originally posted by: ntdz

Originally posted by: Engineer
I don't know about you guys, but I always seem to have to buy energy. Not sure why it's excluded when it always affects everyone.

Oh, and it's a matter of time before these prices are passed on to consumers as the PPI is rising at a good clip. Only a matter of time.

Let's hope the feds don't go wild on raising interest rates on this one.

Yes, but energy prices aren't going to continue to rise like they have been, and inflation will be back to the normal 2-3%.

PPI soars again, 0.9%, on energy gains, 3.1%, in Dec. Up 5.4% for the year (23.9% energy rise for the year). Largest calender gain in PPI since 1990.

 

[judasmachine]

Everything started going up about the time the war started to drag on and on. I noticed the price on everything started going up from groceries to fuel (obviously), etc. I used to be able to take $20 every week and have sodas, snacks, or whatever all week long at work. Now I'm takeing $30 for the same stuff. I hide most of my money from myself, so everytime there is an increase in anything I notice. In all honesty it could be W, it could be the warssss, it could be local politics, and perhaps it's lengthened due to the hurricanes, but something is out of control.

 

[dullard]

CPI numbers for all of 2005 are in. Like usual, CPI dropped slightly overall for the month of December, down 0.1% (the last time CPI rose in December was 1991 when it rose 0.1%). But core CPI increased by 0.2% in December.

Overall for 2005: 3.4% increase. That was better than the 3.5% from Nov 2004 to Nov 2005. However, the overall trend is increasing from year to year.

2001 overall: 1.6%
2002 overall: 2.4%
2003 overall: 1.9%
2004 overall: 3.3%
2005 overall: 3.4%

As a reference, the average CPI increase was 3.4% from 1913 to 2005.

 

[Nerva]

fed's gonna hike the fund rate again, start buying treasuries people

 

[dullard]

Originally posted by: dullard

Originally posted by: ntdz
Yes, but energy prices aren't going to continue to rise like they have been, and inflation will be back to the normal 2-3%.

PPI soars again, 0.9%, on energy gains, 3.1%, in Dec. Up 5.4% for the year (23.9% energy rise for the year). Largest calender gain in PPI since 1990.

I'm still waiting, ntdz, for inflation to go back to normal. PPI increases again tops forcasts in Jan. Up 0.3% for Jan, core is up 0.4% in Jan. Overall it is up 5.7% for the last 12 months.

Oil at ~$60/barrel today is still higher than the average price for oil in 2005 (mid $50s).

 

[Genx87]

The economy is growing.
Expect more interest rate hikes.