It's not often Dr. Perryman talks about the Producer Price Index, so what is it about the September report that has piqued his curiosity?
Calm down! Recent inflation reports have caused alarm and, frankly, overreaction. The overall Consumer Price Index increased again in May, bringing the rate over the last 12 months to 5.0%. It was the largest 12-month increase since a 5.4% rise observed in August 2008, during the midst of the Great Recession. The index for all items less food and energy rose 3.8%, the largest annualized increase since June 1992.