There has been a lot of press about the possibility of inflation. Some think it is not coming and others, all pundits or experts of some kind, believe it is. I submit that it is already here.
A barrel of oil is at $61, the highest level since the crash of last year where it fell below $20. Also, home prices keep soaring and now we see mortgage rates at the highest level since November. Commodity prices are rising at the fastest rate since 2011. These are all signs of inflation. They haven’t made it to the retail consumer as of yet, but this week’s wholesale CPI spiked to a much higher level than expected.
We don’t have to worry if inflation is coming it is already here. It is a matter of how much should we expect.