The Mogambo Guru, "Inflation Meter Soars Over the Red Line"
By The Mogambo Guru
That is why the Mogambo Inflation Meter (MIF) has the red-line at precisely 3% inflation in prices, which is a terrifying inflation rate that, despite its qualities of terror, is but a dim memory now, as the reality is that the indicator needle is quivering at about 7%, and inching almost-imperceptibly higher.
If you have any idea of the horror of 7% inflation in prices over the course of a few years, or if you comprehend the idea of things getting evermore expensive (which they will because the Federal Reserve is creating the money necessary) at the rate that prices actually double in a short 10 years, and then to know that it will get worse and worse should send you screaming, screaming, screaming, frantically loading up on gold, silver and oil and constructing some kind of bunker in the back yard where you can lay down an unrestricted hail of raw firepower, but you first have to fight, fight, fight with the Building and Zoning people at City Hall about getting the required construction permits but spending most of your time arguing, arguing, arguing about minutia, like about how “gun port” is not in the building code and blah blah blah.
But real, in-your-face inflation is already reflected in the commodities index compiled by The Economist magazine, which is showing double-digit inflation in the dollar-prices of everything. And then there is, if that is not enough for you, Javier Blas, in his “Short View” column in The Financial Times, who says that “the commodities market is screaming inflation” which seems about right the instant he says, “The price of crude is up 115 per cent since January 2009” and “spot iron ore prices have surged to more than $140 a tonne, up 95 per cent since January 2009.” Then he quotes Julien Garran of UBS, who uses the Commodity Research Bureau Rind index, which tracks lesser-followed prices such as metal scrap, burlap, hides, tallow, gum rosin and wool tops, “for signs of raw materials inflation, free of the interference of speculative activity” because these commodities are not traded in the futures markets, and this index has, so he says, “risen more than 50 per cent since January 2009”.
About this time, as part of my Official Mogambo Duties (OMD) here on this planet you call Earth to improve the species by weeding out the unfit, I usually take the time to gently tell you that unless you prove your intelligence by buying gold, silver and oil to protect yourself against the massive, unstoppable, terrifying, bankrupting inflation in prices that is coming as a result of the massive, unstoppable, terrifying, bankrupting inflation in the money supply that is coming as a result of the loathsome Federal Reserve creating so much massive, unstoppable, terrifying, bankrupting money (so as to fund Obama’s massive, unstoppable, terrifying, bankrupting $1.6 trillion budget-deficit, with trillions more to come), then there is something very, very wrong with you and you should not have any children."
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