According to the US Bureau of Labor Statistics, US consumer prices for the year ending in June posted the largest annual increase since the recovery from the financial crisis started back in August 2008. Austin home prices are up 37.5% in the year ending in May, according to Redfin. Similarly, gasoline, lumber, and used cars are all more expensive than they were a year ago. Should we be worried?
Earlier this week, I shared an article on some social media channels by DFA’s Weston Wellington titled ‘Everything Screams Inflation.’ How to Interpret the Headlines. Wellington does a great job of illustrating how headlines don’t always (or even often) do a good job of predicting how markets may behave. But he didn’t address the question of if we should be worried about inflation.
I personally am concerned…