European Unemployment Rising

PIGS Inflation Continues Strong

I am at an exec offsite for my employer yesterday and today and cannot blog properly.  However a quick note that October inflation figures are out for the Eurozone, and the mystery of moderately strong inflation in the PIGS countries continues.

Overall, the Eurozone had 3% inflation over October 2010, with all the PIGS countries coming in near or above the average: Greece 2.9%, Spain 3%, Italy 3.4%, and Portugal 4%.  Ireland continues to be the main exception at 1.5% - the only one of the troubled peripheral countries with lower inflation than Germany at 2.9%.  So the idea that these peripheral countries have deeply depressed economies and will slowly disinflate their way to competitiveness doesn't seem to be working out.  I continue to be mystified as to why sellers have enough leverage to increase prices here.

Across the Eurozone, transportation continues to be the strongest component at 5.8% with housing a close second at 5.1%.  Inflation without unprocessed food or energy was 2.0%

European Unemployment Up

Housing Inflation in the Euro Periphery

Strange Price Trends in the Eurozone

August European Unemployment

European Inflation

Chinese Inflation

Japanese Inflation

Data from the IMF.  The aftermath of a big speculative bubble can really last a very long time...

Chinese Inflation, and Next Recession Musings

Misflation

0.01%

That's the annualized month-over-month change in the CPI-U ex food and energy (for the just released September number over August).  The above graph is the month-over-month changes (annualized) since the beginning of 2008.

Components of Inflation

Relative Price Levels in the Euro Area 1995-2009