With the U.S. economic data strong, the Fed’s foot on the accelerator, Iran-Israel tensions high and crude oil prices above the century mark, expectations for future inflation are moving up too. Here’s the five-year breakeven, which measures the difference between yields on inflation-protected issues and those on conventional Treasurys.
You can see they’ve been moving sharply higher over the last few weeks, and they seemed to break out of their recent range after the Jan. 25 decision by the Federal Reserve to tell the market that they were likely to stay on hold until at least late 2014....MORE
And from ZeroHedge:
White House Comments On Surging Gasoline Prices
Just when we thought that when it comes to nonsensical announcements Europe is second to none, here comes the White House and takes the cake:
Uhm, would the "unrestful" parts of the world be those that have an above average US drone presence. At least we know that said price surges have nothing to do with the following chart:
- WHITE HOUSE SAYS RISE IN GASOLINE PRICES CAUSED BY VARIETY OF GLOBAL FACTORS, INCLUDING UNREST IN SOME PARTS OF WORLD, FAST GROWTH IN OTHERS - RTRS
As a reminder, we did note over the weekend that inflation is about to become the biggest concern of "investors" everywhere:
Sure enough...MOREOddly enough, one very crucial item missing is once again surging inflation courtesy of trillions in stealthy central banks reliquification, sending crude to the highest since May 2011, and the most expensive gas price in January on record.