- post-covid inflation (op can correct me if im wrong) - trump ran on making prices lower so he’ll be judged harsher on that

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Anonymous #3 5w

Ik this is just yy but that hurts 😔 never argued w/them or anything

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Anonymous #3 5w

Yes and no! Inflation from a recovering economy (and therefore near-overheating) was a big part of it, but the economy actually recovered quite quickly after the initial shock. I have an image of an ETF tracking the S&P 500 attached to show how quick markets themselves recovered to pre-pandemic levels. The main thing that caused high inflation was the response to the pandemic. The Fed/Congress used 5 rounds of stimulus checks to “stimulate” the economy

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Anonymous #3 5w

Stimulus checks are meant to be spent, and there’s studies going on at the Fed right now to make sure people are actually spending their checks compared to saving them. 3/5 of these checks were given out under Trump, and giving every American thousands of dollars has the outcome you’d expect. This won’t be reflected in the data for some time. At first, much more spending creates a bull market where most companies consistently beat expectations.

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Anonymous #3 5w

Eventually, the problems with giving every American thousands shows in the Consumer Price Index. It creates higher prices and interest rates in the long run (which we were finally getting past in 2024) and creates a negative loop of high inflation causing panic, causing a bear market. So to also address #5, look at the inflation data from 2021 and know that the market dip is from that, 2025 is POTUS announcing that anything from anywhere else in the world is gonna cost a shitload more money.

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Oh wait lmao I gave you the benefit of the doubt and didn’t verify this, but I just did, and while 5.4% is correct, you’re talking about YoY on the CPI. Using the same metric, Month over Month, which I was referring to, is 0.7% in July 2021. The WHOLESALE INFLATION DATA, from the PPI (rather than the CPI), is the biggest jump in 3 years. The PPI is a view of inflation from Producers which can often foreshadow the future of the CPI. To put it simpler, it is the cost to produce a good

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I’d say you’re comparing apples and oranges, but you’re more comparing an apple tree to a clementine slice. If it costs more to make a good, the cost to buy the good is going to go up very soon.

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