Inflation

[King Cnvt]

Current Government figures () say inflation is now below the 2% level mostly due to cheap fuel and energy prices ()

If I look on the commodities markets, crude oil, natural gas and heating oil prices are almost at their historical peaks.

Am I missing something here?

Am I the only one paying top dollar for gas, electricity and petrol?

 

[BoredBloke]

"Am I missing something here"

Yes you are - the governemt talk complete bolloxs

 

[zathras]

"Am I missing something here"

Yes you are - the governemt talk complete bolloxs

That and the fact that the inflation rate is a year on year figure. It says how much they increase over the year but not by how much they have increased over a longer time.

Oh and the government are talking bolloxs as they changed the basket of items used to be biased in favour of those things which have reduced in price while removing those that have increased.

 

[ChimpMaster]

If inflation was measured the same way it was 20 years ago, it would currently be standing at 10% - as mentioned in the current Money Week edition.

 

[King Cnvt]

No no. Inflation is always just below the government target.

Watch the interest rate plummet next month.

 

[zathras]

If inflation was measured the same way it was 20 years ago, it would currently be standing at 10% - as mentioned in the current Money Week edition.

Article from the Telegraph dated 18th April here for both CPI and RPI the inflation rate is higher than the 'official' rate for 3 out of 2 groups. For Pensioners, those families who are 'hard up' and the Middle classes inflation is higher than the official rate with only those living at home and Young Professionals being below the official rate.

For some pensioners inflation was at 8.4%.

There is a 'calculator' that allows you to work out your 'personal inflation' linked on that page - mine stands at 6.1%

 

[Gonzo]

If I look on the commodities markets, crude oil, natural gas and heating oil prices are almost at their historical peaks.

Am I missing something here?

Am I the only one paying top dollar for gas, electricity and petrol?

They are usually quoted in US Dollars and the weakness of the greenback means that they are not so expensive at the moment for other currencies.

 

[sappatz]

Usd

Usd

The Fed wont publish M3 but it is available here

http://www.nowandfutures.com/key_stats.html

even the arabs take fright of the USD

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/09/19/bcnsaudi119.xml

 

[GreenerGrass]

Yes, the Chinese and Arabs are no longer in love with the US dollar.

Due to the ever weakening dollar and rising oil prices gold has had a good run of late. In 1980 it was $850 which is something like $2000 when adjusted for inflation. So there is still scope for some big gains if the Arabs and Chinese increase their gold reserves.