The Fed Is Losing the Battle Against Inflation

Despite these rate hikes, which are supposedly gonna stop inflation, inflation is getting worse. In fact, if you strip out food and energy, the core PCE was up 4.9 against expectations of up 4.7. Now we're 50 basis points hotter in the first quarter of this year. That is a big move in the wrong direction. So we got weakening economy because growth is slowing, and we got strengthening inflation because the PCE numbers are going up, not down. The worst of both worlds, stagflation.