by Karl Denninger
Market-Ticker.org
The Consumer Price Index for All Urban Consumers (CPI-U) increased 1.0 percent in May on a seasonally adjusted basis after rising 0.3 percent in April, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 8.6 percent before seasonal adjustment.
Food at home was up 1.4% on the month, which is catastrophically bad. Fuel, of course, was up ridiculously in May, which we all know (4.1% for gasoline, 3.9% for all energy.)
Annualized figures are not relaxing. Food at home is up 11.9% with protein sources being up 14.2%. Energy commodities are up a stunning 50.3% overall, with fuel oil (that’s diesel, fools) a clean double. This is entirely a policy decision by the Biden Administration who said this was what he was going to do during the campaign, and he did. Do not kid yourself — the last barrel’s price of oil today is what you pay for all of them; that’s just how it works.