How big of a threat is the soaring global inflation? | DW News

US consumer prices rose 6.2 percent last month compared to October 2020 - a 30-year high. It's made markets nervous that the Fed could tighten monetary policy sooner than expected. Much of the surge was seen in energy prices, but food prices also rose sharply. Meanwhile, in Japan, producer price inflation has hit its highest level in more than 40 years, with wholesale prices surging as a result of high commodity and fuel prices. The data means the world's four largest economies - the US, China, Japan and Germany - have all reported record inflation numbers for October. Economists, politicians, Central Bank leaders have been insisting that the current inflation is temporary, but does this data change that view?

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#Inflation #Economy

[therighteous]

Central banks: prints the most money in history
Inflation: happens
Central banks: acts surprised
Everyone: these guys seem legit

[elnovillomapuchedehomerus]

Jokes on you, im argentinian so this doesn't affects me anymore.

[tallpoppysyndrome]

40% of the entire money supply in history was printed in the last 12 months. I'm guessing hyperinflation could be a concern in the near future.

[craigthebrute]

Fed: don’t worry guys we will fix this by printing even more money

[wsurfer]

I don't know where DW got their numbers. It's more like 30% inflation on a lots of food items.
Bean sprouts one bag: was $1.09 now $1.59
Port Rib one pound: was $1.89 now $2.99
I can go on and on..

[nona]

Lots more people going to resign when they don't get the 100% yearly raise they need to keep up with inflation lol

[beautanner]

Ah yes, inflation at a 30 year high, and the most pressing fear: the Fed could tighten monetary policies sooner than expected.

[raynerbrandt]

Transitionary inflation; nothing to worry about people!

[suntsu]

Governments: Print money like crazy

Inflation hits

Governments: Surprised Pikachu face

[Justagamerhere]

Is there a good example of when consumer products went back down after a temporary claimed inflation? Besides gas prices. I would assume if sales are steady there would be no reason for a company to reduce prices except for the usual reasons (outdated, clearance, competition, etc)

[christineherrmann]

Gasoline producers lost a ton of money during the pandemic. Now they want their money back. We're only screwed because EVERYTHING in the US comes from somewhere else and requires _gasoline_ to get to its destination.

[superspeederbooster]

Rich get richer poor get poorer story old as world.

[gamingtonight]

At least with food, we know part of the problem is a 14% drop in world food product in 2020, with an expected further 11% in 2021, based on the year so far, meaning we could have 1/4 less food available to the world. And this will only get worse, because when you see floods and droughts and fires in the media, they talk about homes, not farms.

[vinniechan]

Why is anyone surprised there is inflation when the eurozone and several other countries have been running negative rate for half a decade?
Japan has been asking for inflation fro like 20 yrs now they get it

[stormrider]

"It is a small rootless international clique that is turning people against each other and preventing them from having peace."

[martins]

Overpopulation, demand too high, also wealth hoarding, these two things

[davidgoodwin]

The inflation number is being compared to last October as if nothing special was going on last October. Also zero analysis on food prices just that they increased. Information on challeges for any type of food for any given year are easily found. But that is not an easy story as "look this number is high and people are talking about it"

[mandarp]

Oil prices and commodities such as steel needs to be brought down. Interest rate changes will have little effect on inflation.

[tylsmithfield]

The FED is buying time so the big boys (aka institution investors) have time to actualize their profit from the highly inflated equity and crypto market. After they do so, retail investors will be left to drown. Get out now when you still can.

[shomanjoe]

Remember 1987... Housing market then crashed by over 50% .