{"id":51796,"date":"2023-09-01T11:25:24","date_gmt":"2023-09-01T15:25:24","guid":{"rendered":"https:\/\/www.rightwinggranny.com\/?p=51796"},"modified":"2023-09-01T11:25:24","modified_gmt":"2023-09-01T15:25:24","slug":"unfortunately-inflation-is-still-with-us","status":"publish","type":"post","link":"https:\/\/www.rightwinggranny.com\/?p=51796","title":{"rendered":"Unfortunately, Inflation Is Still With Us"},"content":{"rendered":"

On Thursday, Townhall<\/a> posted an article about the current inflation levels.<\/p>\n

The article reports:<\/p>\n

Yet another inflation metric jumped in July, further debunking claims that inflation is in the rear-view mirror and reinforcing Federal Reserve Chairman Jerome Powell\u2019s remarks earlier this month that additional interest rate hikes would be needed.<\/strong><\/p>\n

The latest Personal Consumption Expenditures (PCE) price index print released Thursday was in-line with expectations which were higher than previous reads.<\/strong><\/p>\n

Headline PCE inflation showed an increase of 3.3 percent year-over-year and Core PCE inflation \u2014 excluding volatile food and energy prices \u2014 increased 4.2 percent in the last year.<\/strong><\/p>\n

Compared to the previous release, headline and core PCE inflation increased 3.0 percent and 4.1 percent, respectively, showing that price increases continue to trend in the wrong, more expensive, direction. The July report also (again) debunks President Joe Biden’s wishful claims that inflation is “down.”<\/strong><\/p>\n

So what do higher interest rates mean for Americans?<\/p>\n

Today’s fixed interest rate on a thirty-year mortgage is about 7 percent. If you have an $180,000 mortgage and put 10 percent down, your monthly payment at 7 percent (mortgage only) would be about $1,200. For the same down payment and loan amount, your monthly payment (mortgage only) at 3.5 percent would be about $800 (source here<\/a>). That’s a difference of almost $5,000 a year. That impacts the housing market as well as the ability of young couples starting out to buy a house.<\/p>\n

There is also the matter of payments on the national debt. As the interest rate is raised, those payments also go up.<\/p>\n

Raising interest rates may slightly slow down inflation, but it will not solve the problem. Until someone deals with the runaway spending in Washington, we will have inflation. The other thing to note is that as the value of the dollar goes down because of inflation, payments on the national debt are made with money that is worth less than it was when the debt was incurred. The whole thing is a viscous circle where working-class Americans pay the price.<\/p>\n","protected":false},"excerpt":{"rendered":"

On Thursday, Townhall posted an article about the current inflation levels. The article reports: Yet another inflation metric jumped in July, further debunking claims that inflation is in the rear-view mirror and reinforcing Federal Reserve Chairman Jerome Powell\u2019s remarks earlier … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[14427,8123,16940,16942,16941,11619],"class_list":["post-51796","post","type-post","status-publish","format-standard","hentry","category-uncategorized","tag-federal-reserve-chairman-jerome-powell","tag-inflation","tag-interest-rate-hikes","tag-mortgage-payments","tag-personal-consumption-expenditures-pce","tag-townhall"],"_links":{"self":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/51796","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=51796"}],"version-history":[{"count":1,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/51796\/revisions"}],"predecessor-version":[{"id":51797,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/51796\/revisions\/51797"}],"wp:attachment":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=51796"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=51796"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=51796"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}