Inflation hits USA

[Gyfts]

Remember just a few months ago when the Fed was saying inflation was transitory lol. And all Bitcoiners were laughing because it was obvious inflation would keep rising.

US monetary system is in a very tough position now in which it is not economically feasible to raise interest rates much but they have to in order to get inflation under control.

The way out: own bitcoin as you watch everyone else get screwed.

It gets even funnier when the Biden administration wants to blame inflation on the war in Ukraine and not irresponsible government spending and financial policy. They've already found their scapegoat. Setting aside that the effects of the war would not have factored in for this inflation report, I wouldn't have been surprised to see it hit 9-10 percent pre-war. Any coincidence that Biden signs an executive order invoking inquiries into crypto currencies? My prediction is they will use some excuse to tax crypto into the ground in order to prevent people from abandoning the sinking ship that is USD.

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[Scripture]

The inflation in US is not a surprise because what is happening in Ukraine has to touch more countries and I believe some countries have higher inflation now than before the war. US has a more data count and collection enough to know what is happening in her economy. If the economy in US is under inflation then more countries in EU should have higher inflation rate now compared to US because there is now unplanned population in EU in countries like Poland, Belarus, Germany etc.

It started even before this war between Russia and Ukraine, that inflation is the result of printing more money during the pandemic season two years already, its just that the war made it more active and increase on its percentage.

Inflation is inevitable, and there’s a lot of things that needs to be consider here aside from supply and demand. You can also see the worlds debt and US debt, though I don’t think US will enter into a hyperinflation because if that happens, we can expect small countries to suffer a lot.

[adaseb]

This inflation is definitely not because of the war. Biden basically said today that Putin is the reason for this high inflation figure. However this war just started and didn’t affect the rate too much. It will affect the rate in the coming months. If this war continues then I can see inflation going to 10% and it’s crazy for getting that high.

Fed will need to raise rates however there is also a war going on? So what is there to do. Most likely there will be a recession in the near future due to all this mess. Inflation is very high and commodities are soaring and I wouldn’t be surprised if we are in a recession sometime in the next 6 months.

[Darker45]

Inflation is now made worse by the Russian invasion of Ukraine, particularly among oil and oil products. But even before this war, inflation has already been going full speed because of the pandemic. And not only in the US but all over the world. Other countries like Brazil, Argentina, Turkey, and some more are even facing double-figure inflation rates. Even the UK which has a milder inflation rate than the US has hit a 30-year high. From here in my developing country, a liter in gasoline is almost hitting $2 already.

[The Cryptovator]

Yea, I had watched that news that Inflation hitting the US. And this Inflation will not just be limited to the US. Since the EU imports oil and gas from Russia, it will affect all over the world. We can't imagine anything without power, and for the power we need Fuel. So automatically price if everything's will higher if oil and gas price become high. Seems US sanctions affecting themselves. And if the sanctions and the war do not stop lately, then there will be more Inflation. Any war isn't appreciated anyway, it affects the overall economy including Bitcoin.

[mindrust]

Haha US is putting up sanctions on Russia not knowing how their taxpayers are going to suffer when it would come to footing the bill of all this. Moreover I even read yesterday US approved a $13 Billion budget for aid to Ukraine. This is like adding fuel to fire of budgetary deficit already going on in the U.S. I am more surprised to see how US is not ready to accept that it's economy is actually burning and when it comes to repayment of national debt they are going to suffer a lot.

I don't understand... Why are they even still collecting taxes from the tax payers when they can print money and tax everybody with inflation? Why are they pretending? Just remove all the income taxes and print whenever you need any money.

They are already doing this but it kills the purpose of paying taxes. So... Why would anybody pay any taxes now?

[bittraffic]

This inflation is definitely not because of the war. Biden basically said today that Putin is the reason for this high inflation figure. However this war just started and didn’t affect the rate too much. It will affect the rate in the coming months. If this war continues then I can see inflation going to 10% and it’s crazy for getting that high.

Fed will need to raise rates however there is also a war going on? So what is there to do. Most likely there will be a recession in the near future due to all this mess. Inflation is very high and commodities are soaring and I wouldn’t be surprised if we are in a recession sometime in the next 6 months.

We already know inflation had already spiked before the Ukraine war. The covid started inflation that every business is affected resulting in the raise prices but this war is just pushing the prices up because gas affects everything. This is not yet the worse I think. There really will be starvation not just in the US but everywhere around the world when Gas and oil and even wheat can't be imported. Europe might suffer more than the US actaully.

Not raising the rates will prevent S&P to make money. It's not just the middle class that gets poorer.

[killerfrost]

The aftermath of Joe Biden's economic policies and his massive $1.9 trillion emergency plan have boosted consumer and business demand, despite the pandemic. Solving the problem can only depend on measures that are beyond the control of USA policymakers, such as ending the crisis in Ukraine or finding a way to immediately increase oil supplies both of which are measures that are difficult to implement and successful. And of course, China loves that.

[Mometaskers]

Yeah fuck man, inflation has been absolutely insane for the past year. 7.8/7.9 might be where we are at right now but there’s so many more things that have shot up much higher. It’s crazy because we are literally all losing money by keeping any of our monies in traditional bank accounts. This is going to crush so much of the world and really destroy people.

It almost sounds like a great reset which I've read about so much. Some clown somewhere said "You'll own nothing and you'll be happy." few months ago. The picture you just drew don't look like happiness to me at all. I mean crashing, crushing whatever the world can't bring happiness... It like saying "I am going to kill you and you'll be grateful for it."

They use all these as excuse to get more power, more than what they gained from all the "emergency" powers they got from the koof. More powers to regulate stuff, etc. Soon we'll all be just serfs that will be happy that they at least kept us alive.

[kaya11]

Yeah fuck man, inflation has been absolutely insane for the past year. 7.8/7.9 might be where we are at right now but there’s so many more things that have shot up much higher. It’s crazy because we are literally all losing money by keeping any of our monies in traditional bank accounts. This is going to crush so much of the world and really destroy people.

It almost sounds like a great reset which I've read about so much. Some clown somewhere said "You'll own nothing and you'll be happy." few months ago. The picture you just drew don't look like happiness to me at all. I mean crashing, crushing whatever the world can't bring happiness... It like saying "I am going to kill you and you'll be grateful for it."

They use all these as excuse to get more power, more than what they gained from all the "emergency" powers they got from the koof. More powers to regulate stuff, etc. Soon we'll all be just serfs that will be happy that they at least kept us alive.

Things are different in our country, we are still managing to survive. Our leader is a good hearted one and he really takes care of his people like his own children. It really is a big factor that the one leading your country is not a selfish bastard that is leeching people's money. Well who ever might that sucking leader will surely burn in hell. If inflation really get's our saved money worthless, then maybe it is time for us (my family) to go back to farming, I love the place where I grew up and there's no problem in me living there again. There is a bad news I have seen earlier, food products will be increasing 20% or more, I don't know if it is true but I think we should be starting to full those storage with food now.

[RealMalatesta]

The aftermath of Joe Biden's economic policies and his massive $1.9 trillion emergency plan have boosted consumer and business demand, despite the pandemic. Solving the problem can only depend on measures that are beyond the control of USA policymakers, such as ending the crisis in Ukraine or finding a way to immediately increase oil supplies both of which are measures that are difficult to implement and successful. And of course, China loves that.

There was about 4 trillion dollars worth of money printing during the last 2 years or so. One came under Trump and one came from Biden. This is not "he is better he is better" thing, it is obvious that both of them did the same thing.

Biden did even less than what he promised, he promised 2k for everyone and instead gave 800 to combine with 1.2k given during Trump time for second time to make it 2k. So, that's like 1.2k missing from his point and that would have been at least another trillion added (along with other things given along with 1.2k to everyone). This is why I do not believe that either did a good job, and they both sucked big time.

[Webetcoins]

Yeah fuck man, inflation has been absolutely insane for the past year. 7.8/7.9 might be where we are at right now but there’s so many more things that have shot up much higher. It’s crazy because we are literally all losing money by keeping any of our monies in traditional bank accounts. This is going to crush so much of the world and really destroy people.

It almost sounds like a great reset which I've read about so much. Some clown somewhere said "You'll own nothing and you'll be happy." few months ago. The picture you just drew don't look like happiness to me at all. I mean crashing, crushing whatever the world can't bring happiness... It like saying "I am going to kill you and you'll be grateful for it."

Not all are losing money because not all use banks or fiat currencies but ever since bitcoin and cryptocurrencies came out, a lot of people have already transferred to it because they figured out its benefits. Inflation isn't a new thing, people should have been wiser before and found things that can help them before the rates increase more.

New rates can be referred to as a reset but it doesn't seem to be positive if this happens in terms of inflation and about the phrase that you mentioned, are they referring to bitcoin/cryptocurrencies? because we can't see it but it makes us happy. They make fun of cryptos but it's the crypto users that are now happy.

[Mometaskers]

Yeah fuck man, inflation has been absolutely insane for the past year. 7.8/7.9 might be where we are at right now but there’s so many more things that have shot up much higher. It’s crazy because we are literally all losing money by keeping any of our monies in traditional bank accounts. This is going to crush so much of the world and really destroy people.

It almost sounds like a great reset which I've read about so much. Some clown somewhere said "You'll own nothing and you'll be happy." few months ago. The picture you just drew don't look like happiness to me at all. I mean crashing, crushing whatever the world can't bring happiness... It like saying "I am going to kill you and you'll be grateful for it."

They use all these as excuse to get more power, more than what they gained from all the "emergency" powers they got from the koof. More powers to regulate stuff, etc. Soon we'll all be just serfs that will be happy that they at least kept us alive.

Things are different in our country, we are still managing to survive. Our leader is a good hearted one and he really takes care of his people like his own children. It really is a big factor that the one leading your country is not a selfish bastard that is leeching people's money. Well who ever might that sucking leader will surely burn in hell. If inflation really get's our saved money worthless, then maybe it is time for us (my family) to go back to farming, I love the place where I grew up and there's no problem in me living there again. There is a bad news I have seen earlier, food products will be increasing 20% or more, I don't know if it is true but I think we should be starting to full those storage with food now.

It's only a matter of time though, these things tend to spread. First the economic hardships and then the regulations needed to control both it and the unrest it will produce. At this point I just wish I have a farmstead in the middle of nowhere and live simply but not many of us city-dwellers are lucky to have that option.

[teosanru]

Haha US is putting up sanctions on Russia not knowing how their taxpayers are going to suffer when it would come to footing the bill of all this. Moreover I even read yesterday US approved a $13 Billion budget for aid to Ukraine. This is like adding fuel to fire of budgetary deficit already going on in the U.S. I am more surprised to see how US is not ready to accept that it's economy is actually burning and when it comes to repayment of national debt they are going to suffer a lot.

I don't understand... Why are they even still collecting taxes from the tax payers when they can print money and tax everybody with inflation? Why are they pretending? Just remove all the income taxes and print whenever you need any money.

They are already doing this but it kills the purpose of paying taxes. So... Why would anybody pay any taxes now?

Haha I don't think you understand economics, the balance of payments, and balance of trades, actually you do need some real money to settle up the old debts if the government would remove taxes economy would run up into an hyperinflationary situation, inflation would run upto 50-60% and even worse it might become Zimbabwe or Venezuela like situation, Fiscal deficits look good only if they are there upto certain extent, think of it inflation is 5-6% when fiscal deficit is around 10%, with increase of every 5% in fiscal deficit inflation would grow up at almost double or triple the rate, your solution is practically impossible.

[adaseb]

This inflation is basically the reason why the stock market and cryptos are correcting. When inflation is this high the fed reserve has no reason than not to increase rates. Rates will increase but the question is how much.

Last month they were predicting 50bps rate increase however after this invasion and rallying gas prices they might move it back to 25 bps and most likely they will raise it every meeting until the end of the year.

If a recession starts then who knows what they will do then. Might have to reduce rates again and the cycle will keep repeating.

[m2017]

Yea, I had watched that news that Inflation hitting the US. And this Inflation will not just be limited to the US. Since the EU imports oil and gas from Russia, it will affect all over the world. We can't imagine anything without power, and for the power we need Fuel. So automatically price if everything's will higher if oil and gas price become high. Seems US sanctions affecting themselves. And if the sanctions and the war do not stop lately, then there will be more Inflation. Any war isn't appreciated anyway, it affects the overall economy including Bitcoin.

Inflation constantly accompanies the modern economic model and affects every country in the world, not just USA. This must be taken for granted. In times of crisis, as now, of course, inflation is even more pronounced. Perhaps we are just at the first stages of serious changes, including rising inflation. The consequences of current events may appear after some time and stretch for years. Only the deflationary model (Guess what I'm hinting at? ) of finance can resist inflation, although it will also be affected. Fortunately, to a lesser extent, compared with the traditional system.

[Abiky]

Valid points. I think people should own both. You'll never know which one will come in handy. Without the internet and electricity gold and physical FIAT become more useful. When you have access to these things but don't want to carry anything physical because you are in an unfriendly territory, then crypto becomes a better choice.

One thing is for sure, FIAT is dying. You definitely don't want to be there with your life savings.

It's always best to have a Plan A, Plan B, and Plan C. You'll never know what will happen in the future as the global economy continues to dive towards new lows. Fiat is always subject to inflation, as central banks print more money over time. It's the person's responsibility to protect himself from inflation by investing into safe-haven assets like Gold and Bitcoin.

While I don't think the US will experience hyperinflation anytime soon, the current situation should be taken with a "grain of salt". No one can predict what will happen in the future, so Americans should be prepared for the worst. Just my thoughts

[gantez]

The USA is the strongest country in the world so whatever happens to the USA will affect the world, a complicated economic problem in the USA is inflation, this is because the dollar is held by almost all countries so that when that country uses an alternative dollar, it can have an impact on inflation in the USA.

I think one of the major reason for inflation is excess printing of money that lead totoo much of money in circulation . This is one of the reason for the US inflation. The rate of inflation now is around 6% and 7% from barely around less than 2% 10 years ago from the time of Obama. I think that US in trying to be the watch of other countries probably have increased the founding of foreign budgets and international organization. Covid-19 also can contribute to this spending.

[jaberwock]

The USA is the strongest country in the world so whatever happens to the USA will affect the world, a complicated economic problem in the USA is inflation, this is because the dollar is held by almost all countries so that when that country uses an alternative dollar, it can have an impact on inflation in the USA.

The USA is the world’s superpower, but I don’t really think that whatever happens to them really affects all the countries around the world.

There are also some countries that wouldn’t be affected. Sure there are those that will be affected, definitely so many, but I know for sure that there will also be those that won’t be affected by this.There are countries that are strongly building their economy by doing what they’re meant to do and I believe that would keep their economy flowing properly even at this time. So many countries has been hit by inflation as of recent which was as a result of the pandemic that took place since 2020 and the lockdown.

[royalfestus]

US inflation soared 7.9% in past year, a fresh 40-year high

Propelled by surging costs for gas, food and housing, consumer inflation jumped 7.9% over the past year, the sharpest spike since 1982 and likely only a harbinger of even higher prices to come.

The increase reported Thursday by the Labor Department reflected the 12 months ending in February and didn’t include the oil and gas price surges that followed Russia’s invasion of Ukraine on Feb. 24. Since then, average gas prices nationally have jumped about 62 cents a gallon to $4.32, according to AAA.

Looks like the inflation will be even higher than this when the next quarter's numbers arrive. Probably double digits. I've also read that the FED might not now raise the rates because of the conflict in Ukraine with Russia. I guess hyperinflation is near.

edit: fixed a big typo. "...FED might not now raise..." Sorry about that. 

Well, if official inflation was 8% last year we can be sure that it was clearly above 10%, surely 15% or more.

But no matter how bad things are, I doubt that we will reach hyperinflation in most industrialized countries, not if maybe in Russia or other countries, but we must remember that hyperinflation is defined as an increase of the CPI of 50% per month.

According to marketwatch the inflation rate of wholesale has risen to 10, consequitivily in 2 months , the highest in the last 10 years. The cost of production of basic needs like grains etc, the reason is attached to cost of energy production, oil. ripple effect of the war in Russia is everywhere and more of them .