on bloomberg they are saying that inflation "unexpectedly quickened" to a 10 year high in the UK. meanwhile US cpi lower than forecast... "inflation will subside as the economy slows"... what is going on? one of the things that added pressure to the depression/crash of '29 was that the bank of england raised rates while the american economy was slowing. similarly valuations at that time were high as they are today. more importantly there are bubbles in the chinese exchanges, and since many of the top US corporations have exposure to china, their shares must be affected by any movement overseas.
Do they account for food and energy unlike the US? According to the US numbers I must be living in a an inflation bubble because here in the NE prices have risen this past year and I know food doesn't count but food items have risen anywhere between 25 and 50%. Maybe they are factoring in a currency element, ie discounting the fall in the value of the dollar against inflationary increases? What really doesn't make any sense is that if prices are not rising while input costs are skyrocketing how are margins staying so high especially when productivity is not rising?