Not All Inflation is Created Equal

Danielle DiMartino Booth

Can something be arbitrary and at the same time deeply damaging? Pursuing a strategy based on personal preference rather than reason can indeed inflict deep wounds if carried on for too long. Such is the case with the Federal Reserve’s preferred inflation metric, the “core PCE.” ...

By | June, 1, 2018|Categories: Articles, Featured|Tags: , , , , , |0 Comments

Danielle DiMartino Booth

Inflation is up, and the yield curve is flattening? What gives? In bond market nomenclature, much of which is indecipherable by the design of craft fixed income traders, what we are witnessing today is a bull flattening. Long maturity Treasury yields are falling at a faster pace than short rate Treasury yields are decreasing...

Fed Up: Culture Shock

Danielle DiMartino Booth

You’re not imagining things. The price of that pound of bacon has gone up. And for once, it would seem, the data validate your observation. The consumer price index (CPI) rose 2.5 percent over last year – call that a five-year high. Inflation was driven by the sustained and welcome (at least in oil country) rise in energy and the first jump in food prices in nine months...