by Glenn Busch
October 18, 2011
When we back out food and energy costs and look at the core PPI over the last few months, it is running at 3% on an annualized basis. Input costs are rising all around. In a strong economy businesses can pass these rising costs onto consumers. In a weak economy businesses will have a tough time raising prices and rising costs will squeeze their margins. We are far from being in a strong expansionary economy.
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by Glenn Busch
August 17, 2011
the main reason why finished prices aren’t rising like they did at the beginning of the year is the decline in energy prices. “Finished Energy” was down 0.6 percent in July, led by the price for gasoline. This won’t last for long as “intermediate energy” prices moved up 0.4 percent after its 0.8 percent decline in June.
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