Inflation - is anyone noticing it?

I think so.

 

Avocado is down to 66c each.

 

But my free range eggs are up so the smashed avo ain't getting any cheaper

 

Cracked a carbon fibre crank on my road bicycle. Can't get replacement! Importing from China. Shimano Ultegra late model gear. Definately supply chain issues for bike parts. Very limited supply and prices are up!. I could have bought a higher end replacement at 3x RRP of the damaged part.

 

I feel your pain.

 

Get ready @Gav.

Could be coming to a place near you.

Melbourne reopens: Coffee, lunch set to cost you up to 20% more as worker shortages bite

 

Not sure if anyone opened their landlord insurance policies lately but the 2 i just opened from the PO box both are up over 33 percent from last year ..
Inflation is everywhere even in the flood zones and cyclone alley..

 

car insurance up $300 despite driving like 1/5 of the hours
Water bill YoY up around 8%
local Japanese place jacked prices of my favourite dish from 19.80 to 23.40

its creeping

 

It is hyperinflation - You heard it here first. Sign LROB.

 

I'd love to see hyper-inflation.

 

Inflation is definitely an issue in the USA hitting 6.2%- up 0.9% in October 2021 alone.
U.S. Inflation Hit 31-Year High in October as Consumer Prices Jump 6.2%

 

yeh its brutal.

wages are soaring though.

https://twitter.com/TommyThornton/status/1458566712144576516?s=20

 

The price of diesel at my local servo is now the same as 91petrol, until a few months ago it was about 30c less.

 

Its not inflation!

Its shrinkflation!


shrinkflation: when product sizes shrink, but prices stay the same.

 

Considering underlying or core inflation figures published by government remove many of the seasonal variations most of us experience, this isn't as simple a question some may believe.... since we experience headline inflation but most are comparing that to underlying inflation figures. ... same same but different

 

Where best to put cash during inflation?

 

Tomatoes $10 per kilo.

 

Coffee Prices Hit Highest in Seven Years on Global Supply Threats

Supply woes from Brazil to Vietnam sent coffee prices to a seven-year high with poor weather, shipping snarls and soaring fertilizer costs threatening to curb supply.

Arabica futures for March delivery rose as much as 4.8% to $2.235 a pound in New York, the highest for a most-active contract since October 2014. Prices have almost doubled in the past year, raising the cost outlook for companies such as Starbucks Corp. and Peet’s Coffee & Tea Inc. that favor the high-end variety of beans.

This week’s rally comes amid falling certified stockpiles and a firmer Brazilian currency that eroded incentives to sell commodities priced in greenbacks. In addition, early projections for the country’s 2022 crop indicate yields will trail the nation’s last high-yielding cycle in 2020-21. That will limit the rebuilding of stockpiles needed to weather the typical dip in the following harvest’s output.

“The global coffee markets remain in deficit and whenever prices drop we see industry buying ahead of further tightening,” said Kona Haque, who leads research at commodity trader ED&F Man in London.

 

For my 2 cents, I think this inflation thing will be short lived.

Once borders reopen, wages growth will stagnate and whilst I think the RBA will lift/attempt to lift the cash rate from emergency levels to say, where they were pre COVID, that's the max it will be for a while.

So my bet is a cash rate topping out at 1% this cycle, and bank rates in the early 3s. And at 1% cash rate, property prices will drop 10-15% from their peak...maybe a touch more in the B/C grade regionals.

 

Tomatoes, storing value since late 2021.