Koon Yew Yin's Blog
U.S. inflation hits highest in over 30 years - Koon Yew Yin
Koon Yew Yin
Publish date: Sat, 13 Nov 2021, 10:30 AM
Koon Yew Yin
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An official blog in i3investor to publish sharing by Mr. Koon Yew Yin.
All materials published here are prepared by Mr. Koon Yew Yin
All materials published here are prepared by Mr. Koon Yew Yin
In 1960, my last drawn salary before I left civil service as an engineer was Rm 554. A new Volkswagen cost Rm 5,400.
In 1967 I co-founded Mudajaya and the price for moving 1 cu yard of earth for 1 mile was 50 sen.
In 1970, when my old collegemate Yap Lim Sen and I with a few other partners founded Ipoh Garden Sdn Bhd, we sold 1 single storey terrace house for Rm 13,000.
The United States spent $725 billion on national defence during fiscal year (FY) 2020 according to the Office of Management and Budget, which amounts to 11 percent of federal spending. The US population is 329 million. If this money were to be distributed to the people, each citizen would receive $ 2,200 every year for doing nothing. $ 725 billion divided by 329 million = $ 2,200 for each citizen.
Many people must be wondering why the prices for everything is going up higher and higher continuously. Our money and buying power are always getting smaller and smaller. Why???
If you continue reading, you will find the answers.
Prices for U.S. consumers jumped 6.2 per cent in October compared with a year earlier as surging costs for food, gas and housing left Americans grappling with the highest inflation rate since 1990.
The year-over-year increase in the consumer price index exceeded the 5.4 per cent rise in September, the Labour Department reported Wednesday. From September to October, prices jumped 0.9 per cent, the highest month-over-month increase since June.
Inflation is eroding the strong gains in wages and salaries that have flowed to America’s workers in recent months, creating political headaches for the Biden administration and congressional Democrats and intensifying pressure on the Federal Reserve as it considers how fast to withdraw its efforts to boost the economy.
Job gains and pay raises have been much healthier during the pandemic recovery than they were after the Great Recession roughly a decade ago. But in contrast to the years that followed that downturn, inflation is now accelerating and diminishing Americans’ confidence in the economy, surveys have found.
Excluding the volatile food and energy categories, so-called core prices rose 0.6 per cent in from September to October. Core prices are now up 4.6 per cent compared with a year ago.
Energy costs soared 4.8 per cent just from September to October, with gasoline, natural gas and heating oil surging for the same reason that many other commodities have grown more expensive: Demand has risen sharply as Americans are driving and flying more, but supplies haven’t kept up.
Economists still expect inflation to slow once supply bottlenecks are cleared and Americans shift more of their consumption back to pre-pandemic norms. As COVID-19 fades, consumers should spend more on travel, entertainment and other services and less on goods such as cars, furniture, and appliances, which would reduce pressure on supply chains.
Many large companies are passing on the cost of higher pay to their customers, and in some cases, consumers are paying up rather than cutting back.
To attract workers, for example, McDonald’s boosted hourly pay 10% to 15% over the past year. To help cover those higher labour costs as well as more expensive food and paper, the company said last month that it raised prices six per cent in the July-September quarter from a year earlier. Yet even so, company sales leapt 14 per cent as virus restrictions eased.
What Causes Inflation and Who Profits from It?
Inflation is a measure of the rate of rising prices of goods and services in an economy. If inflation is occurring, leading to higher prices for basic necessities such as food, it can have a negative impact on society.
- Inflation is a measure of the rate of rising prices of goods and services in an economy.
- Inflation can occur when prices rise due to increases in production costs, such as raw materials and wages.
- A surge in demand for products and services can cause inflation as consumers are willing to pay more for the product.
- Some companies reap the rewards of inflation if they can charge more for their products as a result of the high demand for their goods.
How to reduce inflation in the US?
Inflation can occur in nearly any product or service, including need-based expenses such as housing, food, medical care, and utilities, as well as want expenses, such as cosmetics, automobiles, and jewellery. Once inflation becomes prevalent throughout an economy, the expectation of further inflation becomes an overriding concern in the consciousness of consumers and businesses alike.
Trade war between US and China has been going on for a long time. As we all know, practically all the products sold in Walmart are from China. When the US government increases import tariff, Walmart has to pay higher prices for the Chinese products and passes the additional cost to the American consumers. The US government is actually making the people pay more taxes, thus creating more inflation.
The average inflation rate in China is about 2.5% in the last 10 years as shown on the chart below.
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Discussions
Be the first to like this. Showing 18 of 18 comments
陈大师果然料事如神，未卜先知，那个棺老施主此一时披一时，转来转去，听听就好，不要认真。弟子听说有很多人正在找你，要和你商讨有关KPOWER的事，不知你有听到风声吗？
2021-11-13 11:09
Other members also buying valuable stocks but not behave like this iddiot spammer
We all feel ridiculous nonstop posting nonstop promoting
As I said earlier, if you so confidence to wait and if you so confidence what you invest why everyday need to promote, why everyday put up so many blog, why everyday go different stocks forum keep on promoting your palm oil stocks?
This is very obvious you want to cash out your share bought and treat other members as waterfish.
In the real world, no free lunch to people unless you want to take advantage from others
I don't know why 3iii administrator didn't take any action to suspend this iddiot account to avoid further keep on spamming everyday and every way
I pegging administrator need to take proper action against this spammer
2021-11-13 13:17
Now all open your eye and see this iddiot spammer sold all MHC stock since this iddiot spammer so confidence about the palm oil sector earlier and keep on promoting to all members everywhere.
You see what I told the marker is correct, this iddiot spammer wanted to cash out so keep on promoting to all members then can cash out easily.
I so pity members here listen to this iddiot end up you can burn you hard earned money and this iddiot laughing at you later.
https://klse.i3investor.com/servlets/forum/600571451.jsp
2021-11-13 13:17
Actually the rest of the world leaders already know that US no longer No.1! When Biden ask OPEC to increase oil production, they just give the snub! What can US do! Despite their so called superior military, US can't even get rid of tiny 30k talibans for Aghanistan! Instead the world saw one of the worst pullout in human history! Aghanistan was basically handed on silver platter to talibans!
So how can you expect US to protect Asean from China invasion! Which will never happen as China will instead turn inward as the impact of climate change will be far worst than WW3!
I mean, who go to war when climate change will do that for you! Do you know that it's already projected almost all coast lines in Malaysia will be submerge underwater! That will impact majority of city dwellers here! I mean, China doesn't even need to invade Malaysia! By then, Malaysia will be begging for China to intervene as China will be the only nation that survive the brutal impact of climate change!
2021-11-13 13:36
One can see from recent Climate Change Conference 2021 where EU leaders basically skin US for more molla while EU leaders hardly draw from their own! Basically the recent CCC was nothing more than to ask more money from US!
2021-11-13 13:38
After Goldenagri Calvin's Bumitama agri also posted the All Time Record Prices!
https://ir.bumitama-agri.com/financial-information/quarterly-results
2021-11-13 13:56
calvintaneng As for buying Mhc Plant and selling at Rm1.05 for almost 100% profit is excellent move
Since Mhc, Bplant, Thplant & Jtiasa were traded around 50 sen to 60 sen
The Price doubling of MHC to near Rm1.10 certainly Ok to sell
Then Calvin reinvested the proceeds to these 3: Thplant, Jtiasa & Bplant
Can expect all these three to follow Mhc and rise above Rm1.00 as well
SUCCESS BEGETS SUCCESS!!
Time after time!
PALM OIL WILL GIVE
1) STANDING OVATION
2) RESOUNDING SUCCESS!!
3) ALL ROUND APPLAUSE!!!
PALM OIL : THE SUPERBULL WHEN IT FINALLY ARRIVES IS UNSTOPPABLE!!
2021-11-13 13:58
Dear Mr Koon Yew Yin,
The key point from the article that you posted is this:
"As COVID-19 fades, consumers should spend more on travel, entertainment and other services and less on goods such as cars, furniture, and appliances, which would reduce pressure on supply chains."
And we all know the ultimate travel and gaming destination is Genting Highlands where the unique combination of the weather and entertainment and leisure options are unmatched anywhere else in this world.
You must understand by now that gambling is human nature and is as old as Man himself.
In fact, with all the other travel and tourism stocks closing due to the pandemic, Genting's attractions in Genting Highlands, US & Bahamas, UK & Egypt will be that much more attractive - as the aphorism goes, 'what doesn't kill you, makes you stronger'.
As such, we hope that you are able to take a position in Genting before you miss the boat on the greatest run in Genting's history
1971 Genting Highlands Opens
2021 50 Years of History and Growth
2009 Global Financial Crisis
2020 Covid-19 Pandemic
2009 Year of the Ox
2021 Year of the Ox
2010 Resorts World Sentosa (SG) opens
2021 Resorts World Las Vegas (US) opens
2009 Mar RM3.08 (low) to 2011 Nov RM 11.98 (all time high)
2020 Nov RM2.95 (low) to 2022 Xxx RM ????
History always repeats itself
Sincerely,
EMSVSI
2021-11-13 22:52
1970年之前,美元是金本位, 要多印有难度。
新冠一来,抗疫一塌糊涂, 经济又受重创，股市狂跌,
只好开动印钞机, 大水漫灌来舒困。
这才是通胀的主因。
文中只字未提 ？
2021-11-14 08:58
Inflation has been long persisted; however it doesnt affect the Dragon Land China, WHY ?
Simple !
China produce their products at homeland,in many way
China has build their shield from the USA designed capitalisme intrusion.
China realise, 1 mountain can never sustain 2 tigers.
Thus, China produce deflation elements available
Usa, entice other weaker / small country to pay for their bills.
NOW, THE WORLD IS WONDERING
will usa get punished with their own evil acts ? Honestly, I dont know...
As long there are continually creation from the USA to relief the pressures usa facing... usa shall prevail .
As we all know, usa has the innovation in creating tools that benefit them.
China always good in creating their unbeatable shield.
2021-11-14 09:27
Usa will only fall, when all the weak / small countries realised
They do has a better choice apart keep paying usa s bill like a fool
2021-11-14 09:29
Philippines' Duterte has said it clear and loud .
So, i salute that.
More weak countries choose side silently(no harm).
Thus, usa want to tarnish and destroy that choice(the only) now available.
2021-11-14 09:36
Posted by Ntpboon > Nov 14, 2021 10:21 AM | Report Abuse
小国想选边？
看看大马的棕油、 手套,
以各种各样、奇奇怪怪的理由,
把它们扣留在港口里。
马来西亚不需要选边， 我们可以站稳立场，我们有的是天然资源， 棕油和手套美国不要的话其他国家要，美国是没有这些天然资源的，他们也不能不用，他们不给从大马进口那就和第三国家买贵货，第三国家要货也是来大马进货，我们不会吃亏，就像之前中美贸易战，美国是世界出产大豆最多的国家，中国不买美国的大豆，但是中国不能不用大豆，所以向南美进货，南美就向美国进货，这是同样的道理。当然，当他国宣布不给进口时市场肯定会受到暂时性的情绪影响，尤其是股价。
2021-11-14 11:15
Money was created by God.
Money was firstly highlighted when the children of God were asked not to charge interest on their brothers. They can charge interest on the Gentiles. Hence, the few largest banks in the world even today are apparently controlled by them, whose skills in money are unbeatable.
Let’s see who is in BLACKSTONE the fund manager/investment bank?
The law of supply and demand is a theory that explains the interaction between the sellers of a resource and the buyers for that resource. The theory defines the relationship between the price of a given good or product and the willingness of people to either buy or sell it.
Kindly replace the word “resource” with currency.
For example, Take note of these 3 currencies between NOV 2020 to NOV 2021 :-
1. USD1/MYR 4.10 to USD1/MYR4.16 = MYR depreciated against the USD.
2. USD1/CNY6.60 to USD1/CNY6.37 = USD depreciated against the CNY
3. USD1/ILShekel 3.37 to USD1/ILShekel 3.10 = USD depreciated against ILShekel
Except MYR, many of other currencies have appreciated against the USD.
WHY?
IF the demand for USD is declining ….inflation.
2021-11-14 23:03
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calvintaneng
why you forgot about Jaya Tiasa
Cpo has gone up 200% in price from its low of Rm1700 to over Rm5300 now
That is real inflation later as 50% of Supermarket items contain palm oil
2021-11-13 10:40