US Consumer Spending Shows Resilience Despite Stubborn Inflation | Metals Mine

  • US Consumer Spending Shows Resilience Despite Stubborn Inflation

    From msn.com

    US consumer spending rose in July by the most in four months, indicating resilient demand in the face of stubborn inflation. Inflation-adjusted consumer spending rose 0.3%, according to Bureau of Economic Analysis data out Friday. The advance was boosted by income growth and driven by goods. The so-called core personal consumption expenditures price index, which excludes food and energy items and is favored by the Federal Reserve, rose 0.3% from June. From the prior year, the gauge picked up to 2.9%, the most since February. While a pickup in services costs underpinned the latest inflation figures, economists ... (full story)

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Vancarbon
Aug 29, 2025 12:48pm
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Well I would say it’s practically a done deal for a 0.25% reduction in the FFR for September , irrespective of the “ hot “ data .

The likelihood is it’ll get hotter as the tariff related increases are passed on to the consumer , so there’s a real conundrum ahead for the Fed . Add into the mix “ Mad Max “ and his constant calls for lower rates and goodness knows how the circle is squared .

Inflation was never tamed and potentially it’s now about to be released again .

NB -please spare me the sanctimonious claptrap about the “ one off effect “ of tariffs .
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Vancarbon
Aug 29, 2025 3:01pm — Edited
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Donald Trump : There’s no inflation.

Apparently Donald Trump is the President and doesn’t read # trader comments .

Maybe he should , he might learn something .

Tariffs inflationary outcome depends on the tariffs size and duration, and whether inflation expectations remain anchored.

I’d say it’s pretty reasonable to say “ yes “ to anchored and duration.

The tariff rates are sizeable and will have persistent impacts.

Glad at least one hashtag trader has learnt something tonight .
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Vancarbon
Aug 29, 2025 3:24pm
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Quoting Trader#B749
{quote} I have read many comments over the last 6 months...I learned that some people "think" they know everything, but can't recognize sarcasm.
lol - Apologies .

I’m normally pretty tuned in to most nuances regarding satire, irony and sarcasm. I didn’t detect that in your comment, however I’ll stand corrected and take your point .
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Jr123
Aug 29, 2025 1:07pm
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Quoting Vancarbon
Well I would say it’s practically a done deal for a 0.25% reduction in the FFR for September , irrespective of the “ hot “ data . The likelihood is it’ll get hotter as the tariff related increases are passed on to the consumer , so there’s a real conundrum ahead for the Fed . Add into the mix “ Mad Max “ and his constant calls for lower rates and goodness knows how the circle is squared . Inflation was never tamed and potentially it’s now about to be released again . NB -please spare me the sanctimonious claptrap about the “ one off effect “ of...
The tariffs might just do the same for the economy as raising interest rates. Putting a damper on the economy. The problem being it is harder to stop going into a recession. Their going to need to be able to keep lowering rates to stimulate the economy. Although this will not be problem till later next year.
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Trader#B749
Aug 29, 2025 2:43pm
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"NB -please spare me the sanctimonious claptrap about the “ one off effect “ of tariffs ."

Fed's Daly: "Tariff price hikes seen as one-off event"

Apparently Fed's Daly doesn't read the FF comments.
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Trader#B749
Aug 29, 2025 3:05pm
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Quoting Vancarbon
Donald Trump : There’s no inflation. Apparently Donald Trump is the President and doesn’t read # trader comments . Maybe he should , he might learn something . Tariffs inflationary outcome depends on the tariffs' size and duration, and whether inflation expectations remain anchored. I’d say it’s pretty reasonable to say “ yes “ to anchored and duration. The tariff rates are sizeable and will have persistent impacts. Glad at least one hashtag trader has learnt something tonight .
I have read many comments over the last 6 months...I learned that some people "think" they know everything, but can't recognize sarcasm.
Reply
Trader#B749
Aug 29, 2025 3:34pm
Permalink
Quoting Vancarbon
{quote} lol - Apologies . I’m normally pretty tuned in to most nuances regarding satire, irony and sarcasm. I didn’t detect that in your comment, however I’ll stand corrected and take your point .
No Problems.... have a good weekend.
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