CPI data from BLS, PCE data from BEA, chart by Mish
Commodity Prices
CPI and PPI data from the BLS, chart by Mish
Consumer Spending
Retail Sales data from Census Bureau, chart by Mish
Once again you can see the impact of free money.
Putin invaded Russia on February 24, 2022.
Biden’s Preposterous Claim
“What people don’t know is that 70 percent of the increase in inflation was the consequence of Putin’s price hike because of the impact on oil prices. Seventy percent.”
Washington Post Wimps Out
The Washington Post did a Fact Check on Biden’s claim.
This is one of those clever talking points that pose a conundrum when doing the Pinocchio Test. Biden’s math is defensible, especially because his full quote — not the truncated one circulating on Twitter — specifically refers to the impact of oil prices.
We went back and forth over whether some level of Pinocchios was warranted. We were tempted to award Two Pinocchios, essentially half true. We certainly would be more comfortable if Biden had referred specifically to monthly inflation figures. But he did refer to the invasion that began 50 days ago. So we will leave this unrated and let readers decide for themselves.
Mish Rating vs WaPo Rating
Pictures show Biden is delusional, in an alternate universe Fantasyland, or a a bald-faced liar.
Those are your realistic choices, perhaps some combination.
Discussion Points
- Spending: Consumer Spending Basket Changes In March, More on Gas, Less on Amazon
- PPI: Producer Prices Jump Another 1.4 Percent in March, Up 23 Consecutive Months
- CPI: Inflation Has Eaten Up Nearly 100 Percent of Hourly Wage Gains Since 1973
- CPI: CPI Rips Higher to 8.5 Percent From a Year Ago, the Most Since 1981
This post originated at MishTalk.Com.