inflation what's it about

[disneysteve]

Interestingly, the inflation rate the 2nd half of the year was actually down to about 2.5%, which is the Fed's target, but nobody has really taken notice. That's because the media keeps focusing on the year over year numbers which don't reflect the tremendous progress that has been made to fight inflation in recent months. 2.5% is where we ought to be, and here we are at that point. Hopefully, that will start being the narrative we hear because otherwise the Fed is going to keep raising rates and overshoot the mark which will throw us into more of a recession than necessary.

[crazyliblady]

This is the first time my weekly grocery bill topped $125. When before $50 or $60 tops. This is only 1/2 of my grocery purchase (couldn't fit the other 1/2 in the screen shot). One dozen large eggs (not extra large or jumbo) is $4.99. Just a short while ago was $1.29 a dozen. I purchased a 12 bottle Modelo Negra $17.99 which brings the total higher than without an alcohol purchase but takes a lot more dollars these days. Gasoline is $4.09 in Los Angeles.

Is $125 for just one person? I buy for 2 and spend anywhere from around $80 (a light week when maybe I have some leftovers to fall back and no major need for paper products) to around $150 (most often follows payday when I need some stocking up).

[QuarterMillionMan]

Is $125 for just one person? I buy for 2 and spend anywhere from around $80 (a light week when maybe I have some leftovers to fall back and no major need for paper products) to around $150 (most often follows payday when I need some stocking up).

Yes crazyliblady, single guy, no kids, never married, love being single, etc.

[ua_guy]

Interestingly, the inflation rate the 2nd half of the year was actually down to about 2.5%, which is the Fed's target, but nobody has really taken notice. That's because the media keeps focusing on the year over year numbers which don't reflect the tremendous progress that has been made to fight inflation in recent months. 2.5% is where we ought to be, and here we are at that point. Hopefully, that will start being the narrative we hear because otherwise the Fed is going to keep raising rates and overshoot the mark which will throw us into more of a recession than necessary.

Yes! The Fed is accomplishing the soft-landing they had hoped for, but perception is reality. So many people think the economy is in a bad place and inflation is still out of control.

[QuarterMillionMan]

Someone I know in Hawaii said $7 a dozen of eggs there.

[rennigade]

Here's a thought. Stop buying eggs. If everyone stops buying them prices will plummet. Suppliers will have too many and need to move them. Supply and demand. Or is this another case of fake supply chain issues?

[disneysteve]

Here's a thought. Stop buying eggs. If everyone stops buying them prices will plummet. Suppliers will have too many and need to move them. Supply and demand.

Sure. Stop buying eggs. That also means no bread, no pancakes or French toast, no pasta, no cakes or cookies, no fried chicken, nothing that is made with eggs. Have fun with that.

The main cause of the spike in egg prices is the outbreak of avian flu that has killed off tens of millions of egg-laying hens. That comes on top of the already existing supply issues and labor shortages and higher fuel prices and inflation in general.

[ua_guy]

I'm paying < $4/gallon for gasoline in California now, after the holidays. Seems there was a fake spike in prices to gouge holiday travelers. Diesel is around $4.60, arbitrarily high still.

[QuarterMillionMan]

Sure. Stop buying eggs. That also means no bread, no pancakes or French toast, no pasta, no cakes or cookies, no fried chicken, nothing that is made with eggs. Have fun with that.

The main cause of the spike in egg prices is the outbreak of avian flu that has killed off tens of millions of egg-laying hens. That comes on top of the already existing supply issues and labor shortages and higher fuel prices and inflation in general.

Nice response disneysteve. Some here might think their theories looks good on paper but it won't work in real life.

[james.hendrickson]

Sure. Stop buying eggs. That also means no bread, no pancakes or French toast, no pasta, no cakes or cookies, no fried chicken, nothing that is made with eggs. Have fun with that.

The main cause of the spike in egg prices is the outbreak of avian flu that has killed off tens of millions of egg-laying hens. That comes on top of the already existing supply issues and labor shortages and higher fuel prices and inflation in general.

All - I'm with Disneysteve on this one, public policies to reduce egg demand are probably not the right approach right now.

[disneysteve]

I'm paying < $4/gallon for gasoline in California now, after the holidays. Seems there was a fake spike in prices to gouge holiday travelers. Diesel is around $4.60, arbitrarily high still.

Gas has dipped under $3 in NJ.

Diesel prices are not directly linked to gas prices so they don’t move in tandem.

[rennigade]

Sure. Stop buying eggs. That also means no bread, no pancakes or French toast, no pasta, no cakes or cookies, no fried chicken, nothing that is made with eggs. Have fun with that.

The main cause of the spike in egg prices is the outbreak of avian flu that has killed off tens of millions of egg-laying hens. That comes on top of the already existing supply issues and labor shortages and higher fuel prices and inflation in general.

All the things you mentioned are things people should stop eating. Everything you mentioned is terrible for you. People wonder why they have pot bellies or are severely overweight. Those things taste great, just terrible for you.

Also, most breads and pastas are made without eggs, just fyi. We vote with our money. Stop buying these heavily inflated things. Apparently pizza dough too. Doesn't contain eggs. You make bread with yeast, flour and water.

10s of millions of chickens are nothing. USA consumes 20 million chickens a day. In 2019, there were approx 325 million hens laying eggs in the US. But, it's a talking point and an easy way for the industry to jack up prices. People pay it, prices remain high. If I were a business owner and people paid ridiculous prices for what I'm selling, I would never lower it either.

Also, are we going to keep spewing supply chain issues and labor shortages forever? This will never end unless we wise up and stop believing everything mainstream tells us.

[disneysteve]

In 2019, there were approx 325 million hens laying eggs in the US.

So if 50 million of them got wiped out by disease, you don't think that would be significant?

Not everything is a conspiracy, no matter what you may think.

[ua_guy]

It's pretty simple... once Avian flu spreads, the birds have to be culled. To restart it takes 4-5 months after the facilities are sanitized and re-stocked for birds to reach peak egg-laying of about ~24 eggs per month, per bird. And that's not a guarantee there won't be another outbreak. It's led to a ~7% reduction in supply month over month since outbreaks started popping up last February. And it's a worldwide thing, too...not just the US.

Buy eggs, don't buy eggs, nobody cares. I'm still going to buy them. But it can't be ignored that this causes a price increase for poultry and everything else which uses it. Using the mainstream media for everything is a pretty weak argument in general.

[rennigade]

So if 50 million of them got wiped out by disease, you don't think that would be significant?

Not everything is a conspiracy, no matter what you may think.

Its significant but not a 300%+ increase on pricing. It just doesn't make sense.