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Tag: rent price inflation
We have yet to reach "peak inflation" despite a heavily-massaged CPI Too much debt outstanding to sufficiently raise the Fed Funds Rate to curb inflation. The Effective Fed Funds Rate peaked at 19.1% in June 1981 to combat inflation which peaked in April 1980 as measured by 14.6% year-over-year CPI growth. Total Public Debt was … Continue reading Peak Inflation Not In Sight
Three or four quarter point rate increases in 2022 won't be nearly enough to curb inflation. The Fed does not have the luxury of taking interest rates anywhere near the Volcker-era Fed. Thus, inflation is likley to persist for an extended period of time measured in years not months. Further, we do not believe that … Continue reading Too Little Too Late
Hate to say we told you so, but this inflation train is moving into high gear and will remain strong throughout 2022, particularly as higher home rental prices start to flow through the Fed's home rental price surveys. Our view is that the Fed will be forced to accelerate its tapering effort to perhaps conclude … Continue reading Cash Rich Stocks & Other Ideas To Hedge Inflation
We reviewed Zillow (ticker: ZG) Rental data for clues to true rental price inflation. Zillow rental data tells a different story than the Fed's rental survey data (Owners' equivalent rent of residences), which is comprised of hypothetical information based on homeowner assumptions (see page 1, heading labeled: Weights for OER and Rent). The Fed's rental … Continue reading Real Rental Data Tells A Different Story Than The Fed About Price Inflation
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