What's new
By:
Filters

How hard is inflation going to hit, or has hit?

clodhopper said:
At my job, we have a few ultra rich clients that we assist with development and construction activities. Working with these people is like stepping into a whole different world. The term we use around the office is "rich people problems" when we are flabbergasted by how money is being spent. Couple examples.

1. The wife wanted a very specific tile in her kitchen (big kitchen, this is a LOT of tile). They contracted a specialty manufacturer in Italy to make the requested tile, then paid double to contract the maker to never make it again for anyone else. That isnt the crazy part. Tile was delivered 6 months later. Wife changed her mind. Ordered a new pattern, same maker, same deal. Tile arrives and it still isnt right. Wife has architect redo entire kitchen finish plan. Both loads of tile go in a dumpster, complete loss, owner doesnt care. I cant remember how much was spent to fill the dumpster, but it was a bunch.

2. Client maintains a small fleet of learjets, dunno the actual brand, dont care. These are used by the company he owns, but they are his personal jets. A ready flight crew is on duty at the local airport at all times, 24/7. Never know when someone needs to fly to europe or the wife wants to visit the island they own, right? Anyway, the local airport was hosing him on fees (his words) to station his planes there. He realized that for what he pays in one year in fees, he could build his own jet capable air strip. So he builds his own airport along with an apartment complex for flight crews and the additional flight ops personnel to meet federal guidelines for a jet air strip. All in the meantime, the guy is more focused on building an enclosed hockey rink/ice rink near his house cause... well just cause I guess.


Rich people problems. Cray cray.
Click to expand...
My brother told me he worked for a company. They liked the rock at Lake Tahoe and said ‘we’ll just drain Lake Tahoe and take the rock.’

‘You can’t do that’

‘Why not?’

The fuck? ‘It’s Lake Tahoe.’

‘So. We’ve had laws passed in Germany and people said it was impossible.’

Yeah. Rich people problems are next level incomprehensible to me. The landing strip is a smart idea though.
 
clodhopper said:
Rich people problems. Cray cray.
Click to expand...
Yes. My mom at 40ish years old was given the keys to a Ferrari even after she told the owner she had NEVER DRIVEN A CAR. He didn't care. "Go learn to drive a car from your country." (mom was born in Italy)

She jumped in the driver seat and at~5' tall couldn't see over the dash.

I still remeber that car parked on the street because it couldn't get in my parents barely steep driveway.

Granted this was 1980s money. It's grown exponentially since then. :smokin:
 
arse_sidewards said:
My hope is that this shit crashes and burns so I can buy the dip. I don't even care about buying the dip. I just want a dip so that I can stick my fucking savings in the market without a high likelihood of it being cut so hard that it takes years to recover.

I'm getting particularly fucked right now because all the stuff I want to buy with my money is stuff that's going up insanely fast. Building materials is the big one.
Click to expand...
Same here
 
[486] said:
Something I heard said long ago by a swede that I think is patently obvious on the surface but bears repeating since I'd forgotten it for so long;

Inflation is a tax

It doesn't affect you if you aren't holding onto currency. So, the ultra-rich that have people to manage their assets and don't ever hang onto a significant portion of that in cash? They don't care Their assets appreciate much faster than their cash loses value. The kind of idiot that is in debt beyond solvency? Actively rewarded by inflation, though they aren't who reaps the benefit of it, the banks are.
Click to expand...

fixed. I disagree that it doesn't effect you if you don't hold onto currency. It impacts everyone.
 
rockota said:
fixed. I disagree that it doesn't effect you if you don't hold onto currency. It impacts everyone.
Click to expand...
by storing your value outside the system of currency it isn't being devalued, whereas the vast majority of people who do are having their store of value reduced in value, therefore your store of value is appreciating

one of those things that makes a select few people a little bit of money at a much higher cost to society
easy way to wipe out pensions and retirements across the board
 
Here we goooooooooooooo!

Fed's Daly: rates need to rise to tamp down too-high inflation
​

San Francisco Federal Reserve Bank President Mary Daly said Tuesday she believes the "main risk" to the U.S. economy is from too-high inflation that could get worse as Russia's invasion of Ukraine boosts oil prices and China's crackdown on COVID-19 further disrupts supply chains.

"Even though we have these uncertainties around Ukraine, and we have the uncertainties around the pandemic, it's still time to tighten policy in the United States," Daly said at a virtual Brookings Institution event, "marching" rates up to the neutral level and perhaps even higher to a level that would restrict the economy to ensure inflation comes back down.

"Inflation has persisted for long enough that people are starting to wonder how long it will persist," she said. "I'm already focused on let's make sure this doesn't get embedded and we see those longer-term inflation expectations drift up."

The Fed last week raised rates for the first time in three years, and signaled ongoing rate hikes ahead. Fed Chair Jerome Powell on Monday said the central bank needs to move rates "expeditiously" higher in remarks widely understood to signal more aggressive tightening at coming meetings.

Daly on Tuesday said the labor market is tight enough to be unsustainable, pointing to worker churn including new hires who "ghost" their new employers by not showing up because they have other options.

"In addition to pushing up wage inflation, which could ultimately push up price inflation, putting us in sort of a vicious cycle," she said, "it's just not a very sustainable way to manage the economy."

She said she sought a "smooth landing" for the labor market as rate hikes help bring down inflation
Click to expand...
 
getting a flood of shit similar to this weekly
we r fucked
block.jpg
 
Ive been in the business for a long time, I don't think I've ever gotten a price decrease notice.
I started to see alot more bs enviro and FS fees in 06-07 and never really saw them go away, they did come down some and maybe 25% of them went away.
 
budget76 said:
you guys that get this type of stuff^^^, please post up if you ever ever see one going the other direction. I'm a skeptic
Click to expand...
Remember back around 03-04 when fuel/oil skyrocketed during the Iraq war? Well, there happens to be quite a bit of oil in tires. Everyone's prices went up 50%+. When oil went back down, what happened to tire prices? Yea...
 
^^naw I don't, i was only 14-15ish so wasn't driving yet. but i follow your point, agree with your thinking. Exactly why I'm very interested to see if anyone sees anything reduce back down. I suspect some things will, but most won't
 
45acp said:
Remember back around 03-04 when fuel/oil skyrocketed during the Iraq war? Well, there happens to be quite a bit of oil in tires. Everyone's prices went up 50%+. When oil went back down, what happened to tire prices? Yea...
Click to expand...
Exactly what I expect on fuel. A few months at $5.29 a gallon, it goes to $4.19 and people are like, gee this is great!
 
I'd say inflation is in full swing...

Just got our 2022 property tax assessment and it went up basically 25%... :barf:
 
Rerock said:
I'd say inflation is in full swing...

Just got our 2022 property tax assessment and it went up basically 25%... :barf:
Click to expand...
Just wait until you see the school side of your tax bill go up 55%. :flipoff2:
 
I make 2.5x what I did in 2014 and I'm not so sure I'm doing that much better.

That's a little bit disingenuous, but my expenses have risin significantly. I used to spend 60/70$ a week in food. Now I doubt I spend less than 100. I could eat through my pantry supplies, but those are the backup. I know part of this is the taxes & 401k, investments keeping take-home down but FJB

I finally bought the house, shop and got big boy power in 2019.... Now I can't justify the costs of a 3rd car (535d), a used lathe, CNC plasma etc.

Maybe I should just say fuck it, not finde my 401k and buy the 535d this year instead:flipoff2:
 
Clemson13 said:
I make 2.5x what I did in 2014 and I'm not so sure I'm doing that much better.

That's a little bit disingenuous, but my expenses have risin significantly. I used to spend 60/70$ a week in food. Now I doubt I spend less than 100. I could eat through my pantry supplies, but those are the backup. I know part of this is the taxes & 401k, investments keeping take-home down but FJB

I finally bought the house, shop and got big boy power in 2019.... Now I can't justify the costs of a 3rd car (535d), a used lathe, CNC plasma etc.

Maybe I should just say fuck it, not finde my 401k and buy the 535d this year instead:flipoff2:
Click to expand...
The 535d isn’t a bad car. We just took it down to Chicago last weekend. Put over 550 miles on one tank of fuel. It’s a turd compared to my deleted 335, but has a ton more room inside the car.
 
ThePanzerFuhrer said:
The 535d isn’t a bad car. We just took it down to Chicago last weekend. Put over 550 miles on one tank of fuel. It’s a turd compared to my deleted 335, but has a ton more room inside the car.
Click to expand...
So what if the plan was to have a deleted 535d? I could do a 3.... It's just me. I just want a damn toy and an getting bored with my exit and it's lack of power. It's also a mediocre every day car and I want to stop putting DD miles on my truck.
 
Clemson13 said:
So what if the plan was to have a deleted 535d? I could do a 3.... It's just me. I just want a damn toy and an getting bored with my exit and it's lack of power. It's also a mediocre every day car and I want to stop putting DD miles on my truck.
Click to expand...
If it’s a toy the 335d is what you want. Find a 2011 if you can. I bought the 335d wife started driving it to work liked it so I bought her a 535d. It’s the family car. The 535d is a 14 so it has a few more creature comforts like Bluetooth and what not.

I got them for the mileage and because I have a 7000 gallon fuel tank in the back yard. My 335d is a blast to drive. I deleted it, tossed a aftermarket inter cooler, race pipe ,swirl flap delete and exhaust at it. + 110 hp and +185torque. Just tossed a htptuners tranny tune at it and :smokin:


At 100k you’ll have to spend 2000 and do a service on it. 100K Restoration Kit for BMW E70 X5 35D (AAR2517)
I used this kit and was surprised my car needed everything that was included. The pulleys, damper, gaskets orings ect. It was worth getting the kit because they include some stuff that you would have a hard time trying to find without it.

If you do get one talk to our guru 87Manche he’ll hook you up with insta. Dealer level software for repairing the car. It makes it idiot proof to figure them out . If I can do it you definitely can.
 
I still don't think we've seen the worst to come. This fall is going to tell the tell. This time next year we will either be over the cliff or twinkling our toes at the edge.
 
I made 30% more this tax year than last, went on less vacation, spent less money overall and have even curtailed my spending since October. I have saved substantially less money and don't have nearly as much stuff to show for it as the previous year.

Looking forward to that 3.25% raise this July and the $800 in fuck off money I'm maybe getting from my employer for working through the pandemic. :laughing:
 
[486] said:
you mean a cost increase was passed onto the consumer?

shockedpikachu.jpg
Click to expand...
I have a problem with the WAY it’s passed on. It costs the consumer more, yet it makes inflation look lower than it is. Companies don’t care because they get what they want, and the Oresident gets what he wants. Lower inflation numbers. Magically it’s stopped going up because surcharges aren’t counted into the cost of goods.

Imagine a gas station had a membership fee you had to pay each time you wanted to buy gas. Well the cost of gas doesn’t change, but you have to pay another $1/gallon for your membership fee. Your wallet sees the price of buying gas while everyone else sees the price of gas plus a membership and says ‘well at least gas isn’t going up.’
 
45acp said:
^that

It's a black belt way of faking numbers. "We were able to maintain '21 price structure" because the surcharge doesn't show up in whatever meeting they're in.

It's one of (several) things that makes inflation appear to be 7%, when it's really 15%.

Just raise the fucking price.
Click to expand...
I kinda think it’s more like 21%.
 
Just an observation. It's pretty easy to see and calculate when you observe a place that relies on a high volume at a minimal profit. The store dollar tree....everything is $1.00. Now they've raised to everything is $1.25.

Taco Bell....yes I know but bear with me...they've had a dollar menu for quite sometime. Now, it's a $1.39.

Burger King, McDonald's....etc. they've all had to raise their dollar menu or reduce the amount by about 25 to 30 percent.

Again...just an observation.
 
Thumping said:
Just an observation. It's pretty easy to see and calculate when you observe a place that relies on a high volume at a minimal profit. The store dollar tree....everything is $1.00. Now they've raised to everything is $1.25.

Taco Bell....yes I know but bear with me...they've had a dollar menu for quite sometime. Now, it's a $1.39.

Burger King, McDonald's....etc. they've all had to raise their dollar menu or reduce the amount by about 25 to 30 percent.

Again...just an observation.
Click to expand...
I've noticed the same. I had to hit up two dollar stores yesterday, 1 was $1.25 and the other didn't even have prices posted. I bought a few things and it turns out the 2nd one was starting at $1.50.

Fast food I don't eat much but I do notice the prices, all the combo meals are up by at least a buck. The dollar menu is nonexistent now, most things start at $1.50 and go up from there.
 
You must log in or register to reply here.
Top Back Refresh