- There’s a lot of conspiracy mongering with regards to the housing component of the CPI which muddies popular discussion of the topic. The short version of the story is that it is largely based on rent measurement, and not house prices.
- Although there has been some softening in economies and sectors, another wave of external factors is likely to hit globally traded prices.
- The collapse of shipments out of China will soon snarl supply chains, a shortage in diesel is going to cause problems, and weather does not seem to be cooperating with wheat production in a fair number of growing areas.
For further details see:
U.S. Housing Component Of CPI Not Letting Up