With incomes stagnating (real household incomes at 15 year lows [3]) and gas prices hovering awkwardly near record highs (especially for this time of year), we thought a reflection on the inflationary impact of an always-activist Fed were nowhere clearer indicated than by the collapse in the amount of gas that the average US citizen can afford. Of course, there is a silver lining... the affordability of gas dropping means fewer miles driven, fewer miles driven means more walking [4], and more walking means less obesity... so the Fed's inflationary leakage into energy prices and implicit enabling of lower living standards of most Americans is good for a nation of fatties [5] - always the optimists.
[6]
(h/t @Not_Jim_Cramer)