IT CONTINUES TO RISE HIGHER.
RIGHT NOW 260,000.
THE BIG NUMBER IS THAT ONE
RIGHT THERE.
INFLATION.
BACK IN 2008 IT WAS AT 5%.
WE ARE NOW AT 8.5%.
MARIA BARTIROMO KNOWS ALL ABOUT
THIS.
GOOD MORNING.
THANK YOU FOR JOINING US.
YOUR ANALYSIS ON THE NUMBERS
THAT WE HAVE YESTERDAY AND
TODAY.
HOW DO YOU SEE IT?
>> BILL, THANK YOU VERY MUCH.
GOOD MORNING.
THEY ARE BETTER THAN EXPECTED
AND MOVING IN THE RIGHT
DIRECTION.
YESTERDAY WE SAW THE CONSUMER
PRICE INDEX COME WAY DOWN FROM
THE MONTH OF JUNE IN 8 1/2%.
BETTER THAN THE 9.1% IN JUNE.
SAME SITUATION TODAY WITH
INFLATION AT THE PRODUCTION
LEVEL.
PRODUCERS ARE SEEING INFLATION
UP BUT NOT AS BAD AS THE MONTH
OF JUNE.
WE HAD A READING OF UP 9.8% IN
THE MONTH OF JULY.
THAT’S DOWN FROM THE 10.4% THAT
WAS EXPECTED AND DOWN FROM THE
11% THAT WE SAW IN JUNE.
BOTTOM LINE HERE, WHAT WE ARE
SEEING IS THE PRICE OF OIL COME
DOWN.
WE WERE EXPECTING A PRETTY GOOD
NUMBER ON CPI AND PPI.
LOOK WHAT HAPPENED IN THE MONTH
OF JULY?
OIL PRICES WERE COMING OFF THE
MASSIVE HIGHS WE SAW EARLIER IN
THE YEAR.
IT DOESN’T MEAN NECESSARILY
THAT INFLATION HAS PEAKED.
HOWEVER, IT DOES INDICATE THAT
THINGS ARE BEGINNING TO MOVE IN
THE RIGHT DIRECTION FOR OIL.
OIL PRICES ARE DOWN BUT ONE OF
THE REASONS THAT OIL WAS UP WAS
NOT NECESSARILY AN INFLATION
FIGHTING STORY BUT MORE A STORY
OF AN ECONOMY THAT IS NOT
RELYING ON AMERICAN PRODUCTION.
SO WHY DID OIL PRICES COME DOWN
IN JULY?
I’LL TELL YOU RIGHT NOW IT HAS
TO DO WITH A SLOWING ECONOMY.
YOU ARE LOOKING AT THE PROSPECT
OF RECESSION, TWO QUARTERS OF
CONTRACTION IS WHAT WE SAW IN
THE FIRST AND SECOND QUARTER
AND AS A RESULT OF THAT
CONTRACTION AND A SHARP
SLOWDOWN OF THE ECONOMY AND
EXPECTATIONS OF A CONTINUED
SLOWDOWN THE REST OF THE YEAR
ENERGY DEMAND HAS SLOWED.
PEOPLE ARE NOT DRIVING AS MUCH.
PEOPLE ARE NOT USING AS MUCH
OIL.
OIL PRICES MOVE ON SUPPLY AND
DEMAND.
OIL PRICES CAME DOWN.
THAT’S GOOD NEWS BUT IT’S NOT
THE WHOLE STORY.
FOOD PRICES ARE STILL SOARING.
LOOK AT A DOZEN EGGS, MEAT AND
BREAD.
DOUBLE DIGIT INCREASES
YEAR-OVER-YEAR AND INCREASES
MONTH OVER MONTH.
WE NEED TO SEE MORE OF THE
ALLEVIATING OF PRICES AND FOOD
AND ENERGY GOING FORWARD.
I’M NOT READY TO SAY WE’VE
TURNED A CORNER.
I DON’T BELIEVE SO.
I SPOKE YESTERDAY WITH AN
ECONOMIST AND SAID PRODUCERS
ARE CHARGING WHAT THEY’RE
CHARGING.
STORES, GROCERY STORES ARE NOT
GOING TO LET UP ON THE HIGH
PRICES.
WE’LL PROBABLY SEE THAT
INFLATION AT THE FOOD LEVEL
CONTINUE.
HOWEVER, YOU HAVE TO BELIEVE
THIS IS A POSITIVE THAT ENERGY
HAS COME DOWN SO MUCH.
IT HAS ONLY COME DOWN, THOUGH,
BECAUSE OF A SLOWING ECONOMY.
THE OTHER ISSUE IS THE
PARTICIPATION RATE.
PRODUCTIVITY HAS PLUMMETED AND
WE NEED TO GET PEOPLE BACK IN
THE WORKFORCE.
THAT PARTICIPATION RATE IS
STUCK AND WE NEED TO SEE THAT
AS WELL IN ORDER TO HAVE
CONFIDENCE THAT JOB CREATION
CAN RESUME THE WAY IT WAS IN
THE LAST MONTH.
>> Bill: LET ME PLAY A CLIP
FROM YESTERDAY AT THE WHITE
HOUSE, ALL RIGHT?
LISTEN TO THE NUMBER.
ROLL IT.
>> President Biden: I JUST WANT
TO SAY A NUMBER.
0.
TODAY WE RECEIVED NEWS THAT OUR
ECONOMY HAD 0% INFLATION IN THE
MONTH OF JULY.
0%.
HERE IS WHAT THAT MEANS?
WHILE THE PRICE OF SOME THINGS
GO UP, WENT UP LAST MONTH, THE
PRICE OF OTHER THINGS WENT DOWN.
>> Bill: HOW IS THAT MESSAGE
BEING RECEIVED AT ZERO?
>> IT IS BEING RECEIVED AS IF
IT’S A JOKE.
THE TRUTH IS, BILL, THIS IS
MORE MISINFORMATION AND
DISINFORMATION.
WE’RE LOOKING AT INFLATION UP 8
1/2%.
ON A PRODUCER LEVEL, HIGHER
THAN THAT.
SO WE DO HAVE 8 1/2% INFLATION
AT A TIME THAT WAGES ARE
GROWING LOWER.
INFLATION IS STILL CUTTING INTO
PEOPLE’S ABILITY TO SPEND MONEY
THEY ARE EARNING.
THE PRESIDENT IS CALLING IT
ZERO INFLATION.
IT IS JUST NOT TRUE.
THAT’S NOT THE WAY PEOPLE LOOK
AT INFLATION AND NOT THE WAY
IT’S MEASURED.
IT IS MEASURED YEAR-OVER-YEAR
TO HAVE A CLEAR UNDERSTANDING
HOW PRICES ARE DIFFERENT
YEAR-OVER-YEAR.
WE’RE RUNNING AT AN INFLATION
RATE OF 8 1/2% RIGHT NOW.
NOT ZERO.
UNBELIEVABLE THE DEMOCRATS CAN
GET AWAY WITH COMING UP WITH A
$700 BILLION REVENUE PACKAGE
AND CALL IT AN INFLATION
REDUCTION ACT.
THAT’S THE SAME THING AS
CALLING INFLATION ZERO.
>> Bill: HOW ABOUT THAT FOR
ADVERTISING?
NICE TO SIGH.