Inflation up so Fed will raise interest rates to make sure middle class

[cantstandbush]

does not get more wealth but gets kicked in the ass again.

[The Revolution]

1. Inflation is actually up?

Usually we're being told that inflation isn't going up. Of course, they take out anything that actually went up in price.

Economist: "There has been very little inflation"

Working class: "What about these gas prices?"

Economist: "Gas doesn't count"

Working class: "But I'm paying a lot more at the grocery store every week"

Economist: "Food doesn't count either"

[swag]

2. I admit I prefer getting 4.5% on a savings account to getting 0.75%

I also admit that having a lot of credit card debt would sure suck right now.

It cuts both ways.

[Debi]

3. If you're jonesing for some credit card debt

I'll send you some of mine!!! :7

[swag]

5. Thanks, Debi, but I have had my fun.

[Debi]

6. Damn, I knew it was too good to be true

(I'm doing better w/cards that have 0% or fixed rates - but would like to not have any of the debt - *sigh* someday)

[TheFarseer]

4. can you explain exactly how

this kicks the middle class in the ass? I'm making more money on my savings account, so that's fine. If I was buying a car or a house, I probably wouldn't like it. Stock market doesn't like it. Seems like no one wins except lenders with adjustable rates. If you've already lent the money at a fixed rate, this hurts or if you've already borrowed the money at a fixed rate (would this be people with credit card balances, generally?), it helps (theoretically) Maybe I'm over-thinking this. Or maybe I'm under-thinking this!

[Debi]

7. It is fine for middle-income people w/no debt and money in savings

or who have only fixed-rate debt.

However, there are many, many, many, many middle-income people w/adjustable rate mortgages - interest only mortgages - credit card debt and no savings. For them this is bad.