The Bureau of Labor and Statistics (BLS) released March price data [Available Here] showing a dramatic 11.2% increase year-over-year in Final Demand products at the wholesale level. This is the fifth consecutive month with the highest rate of inflation the PPI ever recorded.
The PPI (Producer Price Index) tracks wholesale price changes. This includes Origination (commodity), Intermediate (processing), and Final (to wholesale).
Hat Tip…CTH
Again please note the four final demand numbers that are boxed in red and the one above it (9.9) are the highest ever recorded since the PPI tracking was started. The price of raw materials, and the wholesale energy costs to process those materials into finished goods, are still rising. It is also important to remember that the Russia-Ukraine war had almost nothing to do with the increases we are seeing.
These increases are being reflected in the prices we pay for everything since this administration decided to curtail fossil fuel production in this country. This was the price of getting Elizabeth Warren to drop out of the primaries in 2020. No more drilling on Federal lands. No more pipelines built to move fossil fuels to market.
What will the future bring? Consumable goods (think food and energy) will probably level out for a while. But fertilizer costs will cause food prices to soar later in the summer when harvests start coming in.
Rising costs for the things we need to live will reduce spending on non-essential goods. Disposable incomes are falling fast as inflation eats up more and more of people’s paychecks. Reduced demand for non-essential goods will likely drive a drop in the price of those items that are widely available as inventories increase due to the reduced demand.
The Democrats and Big Media will try to paint Putin as the culprit. They will follow Hitler’s playbook in telling the Big Lie over and over. They will convince some portion of the public that this is true. They will smear anyone who disputes this publicly as a “Russian apologist” or “Putin’s Puppet.”
The inflation we are seeing is deliberate. It is being used to destroy the middle class. A large, healthy middle class is an anathema to those who would destroy the foundations of America. Painful inflation is needed so that some of the public will clamor for the government to fix things. This clamoring will be used to usher in the Great Reset.
Here is the problem with that. I recently attended an event in purple state. The anger at the government is the highest I have ever seen in my life. People were dropping F bombs about this administration over and over. A friend attended a different kind of event in a different state. The people there were ready to go to war with Washington.
Some people want to believe that the November elections may be the answer. There is a big problem with that. Free and fair elections in many areas will not happen. Dominion voting systems still exist in many places. Ballot harvesting and other processes that are rampant with fraud still exist.
There is a second problem. And his name is Mitch McConnell. He wants “acceptable candidates.” Who defines acceptable? If this is done by someone in Washington, we will all be losers. If McConnell is supporting people like Lindsey Graham, Mitt Romney, etc., we will not get people into Congress who care about America more than themselves.
As Sundance has said:
We need to stop accepting things that we cannot change, and start changing things we cannot accept.