And with this morning’s HOT PPI data, Bernanke’s task just got that much harder.
Yes, the 0.4% rise was the result of agriculture inflation, which is well known. The headline 0.1% inflation wasn’t that bad.
So that’s fine, but the fact remains that the headlines show inflation, and Ben Bernanke must be getting nervous that it’s his QE jawboning it that’s contributing to it.
Of course in the categories that matter — housing, wages, etc. — the trend is still deflationary. But… these headlines definitely don’t help.