John Burnam, Kai Risdon, Jay Powell discussed on Marketplace
I'm Kai Risdon. It is Thursday. Today the 17th Day June Good as always to have you long, everybody. It has been tough. We know to have heard Oh, so very much about inflation these past couple of months here there and everywhere. The economic news is about prices going up What Jay Powell has to say about it and whether it's going to last or me to quote our illustrious Fed chair transitory. You know, we haven't heard from much, though. In all of this. You and what you're thinking about and expecting since inflation expectations are a big part of whether inflation actually shows up here's marketplaces, Mitchell Hartman to get us going. Go to the gas station. The price of the pump is more than 50% higher than last spring used cars up 30% major appliances up 12% Claudia Som, who spent a decade as an economist at the Fed, says price spikes so far are mostly concentrated in things like vehicles and appliances and travel tied to the reopening of the economy and, frankly, over decades. We have seen a very moderate pace of inflation, and the Federal Reserve is convinced that it is going to come back down, and that's what most consumers think, too, according to new survey data from morning consult, says economist John Lear. Consumers believe the prices of certain goods and pandemic hit sectors. Are likely to increase more rapidly than other goods. So right now, consumers expect trips and vacations and cars and home repairs to go way up in price, but not items like furniture or groceries or rent. John Burnam is 55, an automotive engineer in Batavia, Illinois, with one kid in college and another heading there next year. He's trying to make sense of all the inflation news. I'm very good at spending money, but my wife is even better and budgeting. I'm aware of the inflationary fears that some people might have. Yeah, there might be inflation. No, I don't think it's gonna be like the seventies. The family's been saving for a new dryer and a new car, he says. But with prices up so much right now, if our minivan holds out for another year, we may have to push that. Put yourself Expectations of higher inflation might actually worry higher income folks more than those who spend most of what they earn every month, says Claudia Som, Inflation hurts the wealthy. It makes their savings less valuable, and it actually helps those who have debts. She says. As long as wages keep rising with inflation, the money is not worth as much when you pay it back. I'm Mitchell Hartman for Marketplace A very quick calendar Note here, especially for employees of the federal government and companies that follow the government's holidays Schedule. President Biden Made Juneteenth a federal holiday today. So federal workers says the Office of Personnel Management get tomorrow off most of them since Juneteenth the 19th of June falls on Saturday. This year. Friday will be the holiday if you work for a company that uses the federal holiday calendar, which I think I do. Best to call HR Before you decide not to come in. I'll be calling Wall Street today. A split decision for the major indices will have the details when we do the numbers Okay? Here is today's Wait, What economic moment. As.