Tuesday, May 11

Well lookey here: inflation is gathering steam in China

Consumer prices in China rose 2.8% from a year earlier.

Note the comment from Statistics bureau spokesman Sheng Laiyun about April’s inflation was “mild” and not broad-based (emphasis added) -- largely reflecting food and residential-related costs including rents.  Sure Sheng, most people aren't impacted when inflation is confined to housing and food. Nobody needs that stuff!

One of the themes I'm tracking is the Chinese property bubble. Also reported were that property prices jumped 12.8 percent year-over-year. Hmm. That sounds similar to the kinds of increase we were used to seeing in the U.S. a few years ago.

Of course inflation could be much worse, as it is in Venezuela and Argentina where inflation is running at 25%+. Zimbabwe's inflation is so preposterous that I don't know what to say.

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