While prices for food and energy have been rising, inflation in the United States has remained relatively subdued.
One common explanation for that phenomenon is that U.S. inflation has been "exported" to China and elsewhere through the U.S. Federal Reserve's monetary policy. And given the perennial U.S. balance of payments deficit, it's good to know the country has found something it can successfully export!
However, the bad news here is that inflation does not stay exported - and in 2011 it may boomerang back to make life on Main Street miserable.
Thankfully, there are precautions we can take to combat higher prices and preserve our wealth.
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Article Index
U.S. Inflation Set to Soar as the Country's Chief Export Boomerangs Back Home
To find out what you can do to protect yourself from surging inflation, read on...
Continued U.S. Housing Price Decline Won’t Derail the U.S. Economic Rebound
U.S. housing prices still have further to fall -perhaps a lot further.
In fact, depending upon the circumstances, the additional price declines could be quite steep.
But here's the shocker: That decline won't necessarily cause a "double-dip" recession.
In fact, it probably won't even derail the U.S. economic recovery.
Let me explain. To understand this seeming contradiction, please read on…
In fact, depending upon the circumstances, the additional price declines could be quite steep.
But here's the shocker: That decline won't necessarily cause a "double-dip" recession.
In fact, it probably won't even derail the U.S. economic recovery.
Let me explain. To understand this seeming contradiction, please read on…
U.S. Jobs Market 2011: Are You Worried About Your Job?
The U.S. jobs market finally showed signs of improvement last month after the unemployment rate dropped to 9.4%. That was down from 9.8% in November and represented the first real change in any direction in months, the U.S. Labor Department reported last week.
In fact, that decline pushed the national jobless rate down to its lowest level in 19 months, and created the first sense of optimism in more than a year.
Some analysts think December's numbers represent a sea change in the U.S. jobs market, and will mark the start of sustained improvement. They cite increasing job listings in 2010, rising corporate profits in 2011 and upward revisions of previous unemployment reports as reasons the job market pain could finally be subsiding.
In fact, that decline pushed the national jobless rate down to its lowest level in 19 months, and created the first sense of optimism in more than a year.
Some analysts think December's numbers represent a sea change in the U.S. jobs market, and will mark the start of sustained improvement. They cite increasing job listings in 2010, rising corporate profits in 2011 and upward revisions of previous unemployment reports as reasons the job market pain could finally be subsiding.
U.S. & Euro Regulators Move to Curb Commodity Speculators
U.S. and European Union (EU) regulators are vowing to step up scrutiny on the size and volume of commodity market bets as debate continues to rage about whether excessive speculation is driving up prices on energy, metals and agricultural products.
In an unprecedented rush, investors have pushed a total of $121.2 billion into commodities since the beginning of 2009, according to Barclays Capital. Hedge funds, pension funds and mutual funds in the United States have boosted their positions on oil, silver, corn and wheat to record highs in 2010.
In some commodities, the number of futures contracts outstanding now far outpaces the numbers traded in mid-2008, when commodity market prices shattered records. As a result, regulators in the United States and Europe are considering proposals on how to prevent the so-called speculators from manipulating the markets.
In an unprecedented rush, investors have pushed a total of $121.2 billion into commodities since the beginning of 2009, according to Barclays Capital. Hedge funds, pension funds and mutual funds in the United States have boosted their positions on oil, silver, corn and wheat to record highs in 2010.
In some commodities, the number of futures contracts outstanding now far outpaces the numbers traded in mid-2008, when commodity market prices shattered records. As a result, regulators in the United States and Europe are considering proposals on how to prevent the so-called speculators from manipulating the markets.
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