…it really is, well, dismal. Economics, I mean.
This from a piece in this morning's Wall Street Journal:
The swings in our buying habits have accentuated the difference between the consumer-price index (CPI) and the personal-consumption-expenditures price index (PCE). CPI captures the headlines and determines the return on inflation-linked Treasurys, or TIPS. The Federal Reserve uses PCE—and the two diverged over the summer.
Which, in non-Econspeak, means we are undergoing a fundamental recalibration of "normal" right now.
Given time, things will work themselves out. In the meantime, hang on to your hat.
No comments:
Post a Comment