Idiosyncratic price spikes due to reopening and troubles in the motor vehicle supply chain are fading or reversing. But keep an eye on housing, health care, and restaurants.
You leave out one old-fashioned sector ....energy.
At this time a year ago, natural gas was around $1.80/mmsf, now its up to $5.00.
Propane was $1.05/gallon, now its $1.90.
crude oil was $40, now its over $70.
uranium, ignored for years, is also suddenly popping.
And the thing is, the entire economy is dependent upon energy for everything it does.
I guess the modern belief is that these things dont matter because we can replace them all with solar and wind and unicorn wing power ....but even if those things are possible as replacements, which has yet to be proved, then doing so will require an enormous amount of retooling, simply enormous.
In the meantime, since drillers have been reluctant, in the current political climate, to exercise new cap ex, we have current supplies that are way short of current consumption and our inventories are all being drawn down rather rapidly. I see a real crisis coming .....
Mark,
You leave out one old-fashioned sector ....energy.
At this time a year ago, natural gas was around $1.80/mmsf, now its up to $5.00.
Propane was $1.05/gallon, now its $1.90.
crude oil was $40, now its over $70.
uranium, ignored for years, is also suddenly popping.
And the thing is, the entire economy is dependent upon energy for everything it does.
I guess the modern belief is that these things dont matter because we can replace them all with solar and wind and unicorn wing power ....but even if those things are possible as replacements, which has yet to be proved, then doing so will require an enormous amount of retooling, simply enormous.
In the meantime, since drillers have been reluctant, in the current political climate, to exercise new cap ex, we have current supplies that are way short of current consumption and our inventories are all being drawn down rather rapidly. I see a real crisis coming .....