Quote:
Originally Posted by Minte
My degree is in mechanical engineering. Even though I haven't done much engineering work in the last 10 years my daily tasks are solidly in the business and management side of manufacturing. I will concede the word hyper.
That being said,since 1999 when we added the plastics division the last 6 months have been the largest cost increases we have seen. In 1999 a pound of raw poly cost 54 cents.
Though the 2000's it rose annually at a bit over COLA.
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What you describe above is more a result of supply and demand.
It is simply a brute fact that with the rise of emerging markets, there are more dollars, euros, pounds, yen, yuan/renmimbi, rupees, etc. chasing the same resources.
WTS, There is no doubt that weakening / strengthening currencies play a role.
But until you see the US Dollar Index and US bond market collapsing, the world doesn't have even accelerating inflation considered as a significant risk at this point.
It could happen, so I'm not saying it's impossible. It just looks to me as the US is
struggling to maintain inflation and prevent a slip back into the deflation we saw in 2009.
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