Saad Ullah
⬤ Real-time inflation data is painting a dramatically different picture than official numbers. The Truflation US CPI Inflation Index shows inflation running at just 0.68% as of early February. That's less than a quarter of what the government is reporting.
⬤ Here's where it gets interesting: the Truflation index updates every single day and currently shows a year-over-year change of only 0.68%. Meanwhile, the Bureau of Labor Statistics is still reporting inflation at 2.70%. That's nearly a 2% gap between the two measures, and it's raising some serious questions about which reading actually reflects what Americans are experiencing.
⬤ Some analysts are looking at these numbers and seeing deflation on the horizon. As one market observer noted, "This deflationary force is affecting the US economy and demands aggressive rate cuts." While that's just one opinion rather than official policy, it reflects growing concerns about the direction of price trends.
⬤ The divergence between alternative inflation tracking and official CPI data has become impossible to ignore. It's fueling an ongoing debate about the real state of the USD economy and whether current monetary policy is appropriate for actual conditions on the ground.
Saad Ullah
