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Home Front Economy | |
Wholesale Prices Fall As Gas Prices Drop | |
2006-10-18 | |
Wholesale inflation plunged by the largest amount in more than three years in September as a record drop in the cost of gasoline offset rising prices in a number of other areas. The Labor Department reported that wholesale prices overall fell 1.3 percent last month, nearly double the decline that analysts had been expecting.
While the overall inflation performance was much better than expected, core inflation, which excludes energy and food, jumped by 0.6 percent in September, the biggest increase in this area in 20 months. Much of that gain was due to a jump in new car prices, which had been falling previously because of the widespread use of attractive incentives aimed at moving a backlog of unsold cars. Financial markets are hoping that a slowing economy and recent sharp declines in global oil prices will help to lower inflation pressures in coming months and keep the Federal Reserve from pushing interest rates higher. After raising rates for a record 17 consecutive times, the Fed left rates unchanged at its August and September meetings. The Fed meets again next week and economists widely expect no change at that meeting either. | |
Posted by:Fred |
#9 sh#@!! sh#@#!! and double sh$@!!!! |
Posted by: H. Dean 2006-10-18 11:23 |
#8 Oh, and $1.97 Monday 25 miles south of DC. No wonder there's so much traffic on I-95! |
Posted by: Bobby 2006-10-18 10:42 |
#7 Half the dopes believe the oil companies control prices, the other half think W does it. Not even OPEC, whose publically announced intent is to control oil prices, really controls oil prices. Well, not since the 1972-3 embargo, and that leaked like a sieve. |
Posted by: Bobby 2006-10-18 10:41 |
#6 Raj, If Bushie and Cheney could engineer this price drop, then by golly those are the people with the kind of power I want in those positions. I don't want some whining wannabe whimp in those offices. Does the name Jimmy Carter ring a bell? |
Posted by: Procopius2k 2006-10-18 09:53 |
#5 I question the timing... |
Posted by: Raj 2006-10-18 08:21 |
#4 proving the old adage that you can fool some of the people all of the time. |
Posted by: anon 2006-10-18 06:33 |
#3 And a poll on Fox News last night suggested a large part of the US subscribes to the Dem view of 'the economy' - that'd be the one where Bush has wrecked it. |
Posted by: Bobby 2006-10-18 06:28 |
#2 Holy smokes! 2.14 in Exeter, NH VT 13 Oct 2006 at Mobil. Mobil was 2.24 in Ascutney, VT; tax diff I think. |
Posted by: Whiskey Mike 2006-10-18 01:11 |
#1 US$3.08 this AM here in Guam. |
Posted by: JosephMendiola 2006-10-18 00:08 |