in june. anybody who drives a car or heats their house or cools their house knows this and food up 11.2%. this is a gauge that is a little different than the consumer price index that we report every month. the fed likes to look at this one because it has other through lines, especially for medical costs, for example, in here. so this is a number that the fed has been watching and this is showing you why the fed is raising interest rates so aggressively to try to cool inflation. it is widespread in the american economy right now across all kinds of categories. when you look at the trend again, the highest now in 40 years, 6.8%, that s not the kind of line you want to see. this has been a crucial week for economic news as you know, capped by this particular report. you have recession fears, fanned by two quarters in a row of negative gdp growth. but still, a strong job market at the same time. so it is a complex economy with some treacherous waters trying to get through here. this numbe
of england that inflation will hit the double digits. this is something that many people have not experienced before. it looks inevitable experienced before. it looks inevitable that experienced before. it looks inevitable that inflation - experienced before. it looks inevitable that inflation will| experienced before. it looks- inevitable that inflation will make the double digits, and the financial times the double digits, and the financial times reports that the increase in costs times reports that the increase in costs of times reports that the increase in costs of lots of unilever s products are fairly costs of lots of unilever s products are fairly basic things like stuff democrat of shampoo, increasing ii~2% democrat of shampoo, increasing ii~2% in democrat of shampoo, increasing 11.2% in the second quarter of this year~ 11.2% in the second quarter of this year~ there 11.2% in the second quarter of this year. there are lots of elements going year. there are l
undergirds everything in inflation is priels of gas. you have to transport things. that to me is sometimes has been popular and sometimes unpopular. i would like to see it done. bill: it comes out to pennies on the dollar. you look at a reelection that will be close for you and many others in michigan. i was looking at this a moment ago. arizona phoenix, 60% of the voters in that state live in phoenix. inflation is running at 12.3%. in atlanta, 11.2%. that is a stiff headwind. i don t think about it in terms of a reelection issue. i think about the choices that families are making because of inflation. that s a real conversation that is happening at the kitchen table. the kids go to bed and it s like what won t we do? we pay more at the grocery store and tank. it is just there is no bigger issue right now and why
the economy as you see this going into the week? first of all let me say something nice about a democrat joe manchin. he is saving our country now. thank god for joe manchin. the deal they were just talking about which hopefully is finally permanently killed would have raised taxes on our small businesses, our companies, it would have increased spending by $500 billion. talk about dousing a forest fire with kerosene. so thank god it appears that s behind us. look, those numbers that came out this week, bill, are catastrophic. you had 9% inflation for consumers, 11.2% increase in prices for producers. by the way, when those producer prices go up, guess what happens, bill? it means consumer prices have to go up. we haven t peaked out. it is not transitory or temporary. the fed will raise interest rates i m worried about a recession. sandra: can we play out larry summers.
so this shows you there is no progress on inflation. the inflation problem is deep, it s intense, it s virulent and it s widespread. and, you know, there was some muttering on the c.p.i. report that maybe there was going to be some relief. i didn t think so when you looked under the hood, the c.p.i. report was a very bad report. this makes things even worse. steve: yeah. one would hope, i mean, the federal reserve is going to have to act more aggressively. so far, they re talking the talk but not really walking the walk. and the biden administration, you know, i mean, they just cancelled a lease in alaska that was supposed to be a big deal with oil and gas and gasoline prices soaring. huh? cancelling the lease. i don t get that. steve: no kidding because the people when you go to buy gas today, the national average today is the highest ever in american history. it s $4.41 a gallon.