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US Import Prices Post Surprising Jump, Rise 0.2% In May Despite First Decline In Fuel Import Prices Since September 2010
Bernanke's push for monetary easing just got more complicated. While the market had hoped that the most recent Import price index would post a decline of -0.7% M/M, following an increase of 2.2% (revised to 2.1%), the data disappointed and showed that inflation exports by our trading partners is again picking up (and if we are right and Chinese inflation exports only pick up in earnest in the H2, this is just the beginning) making the push for "deflation combating" stimulus that much harder. Oddly, unlike in previous months when the inflation was led by surging Fuel Imports prices, May saw the first Fuel Import price decline since September 2010, dropping -0.2%, with core non-fuel imports being the primary cause for the pick up. From the release: "All Imports: Import prices ticked up 0.2 percent in May after rising more than 1.0 percent in each of the previous seven months. The May advance was led by higher nonfuel prices. In contrast, fuel prices declined for the month. Prices for overall imports advanced 12.5 percent over the past year, the largest 12-month month increase since the index rose 13.1 percent between September 2007 and September 2008. Prices for fuel decreased 0.2 percent in May, the first monthly decline for the index since a 1.5 percent drop in September 2010. In May, a 0.4 percent drop in petroleum prices more than offset a 4.1 percent increase in natural gas prices. Despite the May decrease, fuel prices advanced 42.3 percent over the past 12 months, the largest year-over-year rise since the index increased 54.4 percent for the year ended April 2010. Both petroleum and natural gas prices rose for the May 2010-11 period, advancing 44.6 percent and 8.8 percent, respectively."
Full breakdown:
The result: a sharp drop in gold and silver which now see another (transitory) hurdle to the implementation of QE3. Of course, the faster everything drops, notably stocks, the faster Bernanke's arm will be twisted to do the "right" thing for his Wall Street superiors.
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Clearly caused by the snow.
Yoo-hoo, EK, remember, snow is now Japan.
How does the strong Dollar policy fit into that?
Like a spent fuel rod into a playground.
A tsunami of "price" inflation is now arriving at a coastline near you.
OHNOES down almost 1%, and down less than 3% since its HORRIFIC drop from the 1560'es.
Meanwhile, stocks have PLUNGED 6% since their 12750 monthly high.
Meanwhile, another day of hysterical and misleading Robo posts.
My GOD Robo isnt it horrible?? Gold off almost 1% from all time record high oh nooooeeezzz.
So sell the gold you never owned and buy LULU. Simple enough.
Great do QE fast then! Lets see the dollar go critical and melt thru its containment vessel, I dare ya Ben!
Whoa, what happened to those 2 MomoFader posts they just vanished.
Looks like these forecasts of DJIA 2011-2012 just get better every day:
April 26 with a link to Feb 6th forecast:
http://saposjoint.net/Forum/viewtopic.php?f=14&t=2626&st=0&sk=t&sd=a&sta...
Ok so US import prices show a surprise rise. Clearly an inflationary sign,
but the manipulators tank Gold and Silver on this number.
Unreal. China will continue to buy.
Silly round-eyes, China invented paper!
Insane spikes in volume @ 13.26, 13.32 AND 13.45.
News are not released thrice. It's released once. Yet, we saw THREE moves to the downside, supposedly on basis of this ONE news release.
Free market my ass.
transitory. since 1913.
Let's party like it's 1913.
Today's little drop in prices of gold/silver is purely one fraudulent form of paper being exchanged for another fraudulent form of paper.
I'm still exchanging the fraudulent form of paper for the physical gold/silver.
Cdad getting long the certainty that J. Teranova of the Nanosecond Money crew will absolutely find the good news in this disappointment. Long the triple levered bullish J. Teranova call, in fact.
I read that cotton prices are up over 80% in China....similar rises for other raw materials...this has to work its way back to us via WalMart and almost every retailer.
stagflation, radioactive BiCheZ!
BiChFlation, radioactive stags!