March 17, 2010
BUT, BUT, BUT....ALL THAT STIMULUS AND DEFICT SPENDING JUST HAS TO BE INFLATIONARY!
Feb. wholesale prices drop 0.6 percent (Martin Crutsinger, 3/17/10, ASSOCIATED PRESS)
While overall wholesale prices have risen 4.4 percent over the past 12 months, core inflation, which excludes energy and food, is up a much more subdued 1 percent over the past year.Posted by Orrin Judd at March 17, 2010 12:25 PM
Paul Dales, an economist at Capital Economics, said much of the downward pressure on prices stemming from America's steep recession has yet to be felt. For that reason, Mr. Dales said, the Fed will be able to keep interest rates low for many more months.