themoneyillusion.com - TheMoneyIllusion

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  A slightly off-center perspective on monetary problems.

We still have a loooong way to go, but today’s report contains good news. Not so much the fall in annual headline inflation to 3% (which was due to base effects), rather the fall in non- housing services inflation :

The inflation that really matters is wage inflation. Unfortunately, it’s hard to get good data on wage inflation. The Atlanta Fed says it’s running 6.1%, and the BLS says 4.4%. “Supercore” inflation is the part of inflation that is most closely tied to wages, so its recent decline is a good sign.

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