January PPI Up 1.0%…Not P

In the newest release from the Bureau of Labor Statistics, the Producer Price Index for final demand increased 1% in January, just adding to a seemingly endless inflationary trend that is all too familiar. PPI advanced just 0.4% in December 2021, and 0.9% in November 2021, amassing an unadjusted gain of 9.7% in the 12 months ending January 2022. Increases in PPI are arguably a good indicator for future inflation levels, as vendors and distributors have yet to pass on cost increases that they’ve seen from manufacturers and oversees counterparts.

The largest increase in final demand services lies within the hospital outpatient care prices, which were up 1.6%. The largest contributing factor within the final demand goods were expectedly within both energy and food, rising 2.5% and 1.6% respectively.

The looming Federal Reserve intervention is ostensibly the only hope we have at this point in cooling down inflationary factors that have gone exacerbated amongst an ungodly amount of demand for goods, and supply chains absolutely collapsing. The demand for goods is presumably the mass amount of moneys that have made their way into the global financial world via mass central banking money creation. PLEASE SAVE US JPOW…YOU’RE OUR ONLY HOPE.