Posted 12/12/2023, 4:01:00 PM
Financial Guru Jim Grant: Inflation Is Permanent and Lost Purchasing Power Unlikely to Return
- Financial writer Jim Grant says inflation is permanent, not transitory, and lost purchasing power won't be regained
- Grant notes U.S. has seen low-teen percentage loss of purchasing power since 2020
- November CPI report showed sticky price gains - 0.3% monthly rise, 4% annual increase in core prices
- Inflation trajectory remains a key question for markets and whether "permanent" label is accurate is debatable
- After CPI report, markets priced in 50% chance of Fed rate cut by May 2024 as inflation expected to ease