Some quick observations to mull over this weekend
Then, you’ve got airlines hiking airfares. Shippers are hiking shipping rates. Hotels are charging more for rooms. Utility bills are rising. The list goes on and on. Even the totally cooked CPI numbers are showing signs of stress, with the beloved core rate up the most in a year last month.
Add to that the fact the dollar is now plunging in the wake of “Gentle Ben’s” ridiculous talk about “well-contained” inflation, and I think you’re getting close to a breaking point. The bond vigilantes are FINALLY waking up and taking long rates up. So even if the Fed pauses, it may NOT help housing and not keep overall rates from rising. Something to ponder over the weekend, I suppose.