Editor’s Note: As we often say here, now is the time to move wealth or retirement to precious metals before prices go up. This isn’t about fearmongering. It’s about seeing the writing on the wall. The two companies we endorse are both operated by America First patriots, something most in the precious metals industry cannot claim. For tax and penalty-free precious metals IRA, talk to Goldco. For bullion, talk to Our Gold Guy. Here’s the article by Mary Villareal…
The highest inflation in almost 41 years has resulted in American households paying an average of $717 more per month, according to the Joint Economic Committee (JEC) Republicans.
Despite inflation slowing down slightly in July, the Consumer Price Index still reported that prices climbed 8.5 percent from the previous year. This was largely due to the rising costs of goods, including cars, food, housing and healthcare.
The JEC Republicans’ State Inflation Tracker calculated the average rise in household expenses in July to what they would have cost back in January 2021, when inflation was at 1.4 percent.
“While prices did not change from June to July 2022, prices increased 13.3 percent from January 2021 to July 2022, costing the average American household $717 in July 2022 alone,” their report said.
Fox Business pointed out that even if prices stopped increasing altogether, the inflation that already occurred, which resulted in the existing rise in prices between August 2021 and July 2022, has already cost the average American household an extra $8,607.
Inflation started to rise since the beginning of the Biden administration, putting financial pressure on many American households.
Unfortunately, this burden has been felt most by lower-income American families and middle-class households who are still recovering from the pandemic and whose incomes are already stretched thin and are heavily impacted by the volatile prices. (Related: Survey: 95% of Americans have been affected by the inflation crisis.)
The CPI report for July saw a continued rise in prices for other key items, including groceries, which have gone up 1.3 percent – its highest increase since March 1979.
Grocery prices have now seen yearly increases at 13.1 percent, and shoppers are paying more for poultry, dairy and vegetables.
While the U.S. unemployment numbers have remained relatively low and workers have experienced wage gains in recent months, inflation has erased much of those earnings. Real earnings dropped three percent in July as the average hourly earnings dropped 0.5 percent from June, when higher consumer prices are taken into account.
“While the boost to overall economic prospects is welcome, easing inflation will ring hollow with many down-market consumers whose wages are falling in real terms,” RSM chief economist Joe Brusuelas said.
Energy prices contributed to dip in inflation, but not enough
The decline in energy prices in July also contributed to the dip in inflation – falling 4.6 percent from the previous month, although it remains at 32.9 percent higher over the last year. The average gas price also fell 7.7 percent in July, but still up 44.9 percent from the same month last year.
The White House has also been criticized over the skyrocketing prices, which came right before the mid-term elections. The Democrats in Congress are pushing a bill that is meant to counter inflation, but many critics say it will only worsen the situation.
Experts say the “Inflation Reduction Act” will do absolutely nothing to reduce inflation, and an analysis of the Wharton School of Business warned that the behemoth spending bill would have an impact on inflation that’s “statistically indistinguishable from zero.”
President Joe Biden, who had been defensive for months about the skyrocketing prices, noted that there are lower-than-expected figures in July, and is using this as evidence that inflation is beginning to moderate despite remaining at historic highs. Experts have also cautioned that the high inflation could take months, or even years to return to its pre-pandemic levels. (Related: Inflation causing financial stress on young, low-income Americans.)
Seema Shah, chief global strategist at Principal Global Investors said: “Inflation will only decline at a painfully slow pace. Food and energy inflation are wild cards. Although inflation should peak soon, the broadening and stickiness of price pressures imply headline CPI will only fall to 6.5 percent this year, before the recession accelerates the decline in 2023.”
Visit Collapse.news for more updates about the record-high inflation in the United States.
Watch the video below for more information on the ongoing problems in the economy as well as the Inflation Reduction Act.
This video is from the Three Spoons channel on Brighteon.com.
More related stories:
- More high-income Americans are shopping at discount stores due to unrelenting inflation.
- American workers have lost $3,400 in yearly income due to unrelenting inflation.
- Record number of Americans having difficulties covering household expenses as inflation crisis continues.
- Joe Biden has presided over more inflation in his 18 months in office than any other elected president in history.
- Surveys: Consumers are saving less and acquiring more debts due to inflation.
Sources include:
Two Storms, One Harvest
Every food crisis in living memory has been a one-shock event. The 2008 price spike was a commodity bubble. The 2020 shortages were a logistics failure. The 2022 grain scare was a war on one exporter’s ports. Each time, the system bent, adjusted, and recovered, and each time the experts assured us afterward that global markets are simply too big and too diversified to fail.
What nobody in Washington seems eager to discuss is that 2026 is shaping up to be something the modern food system has never actually faced. Two independent shocks, one climatic and one geopolitical, are converging on the same harvest cycle at the same time. Not sequentially. Simultaneously.
Start with the weather. The Pacific Ocean is currently building toward what forecasters now openly call a record event. NOAA’s Climate Prediction Center puts the odds of at least a strong El Niño near 88 percent, with roughly two in three odds it reaches “very strong” status, the tier reserved for perhaps three or four events in the entire satellite era. Every major global model now projects a median peak in Super El Niño territory, and most of them project it exceeding the 2015-16 event, which until now held the modern record. Sea surface anomalies were already brushing the super threshold in mid-July, months before these events normally peak. The atmosphere has already shifted into El Niño mode, and the event is forecast to crest in late fall and early winter.
This is not about “climate change.” It’s about the standard cycles of weather, and the cycle we’re currently in is one that has likely devastated societies in the past. We’re better prepared as a society today, but not all Americans are equally prepared.
Serious households have started doing the quiet math on their own. Grocery bills tell part of the story, and the forecast maps tell the rest, which is why long-term food storage has moved from fringe hobby to mainstream line item in the family budget, with established suppliers like Heaven’s Harvest seeing demand from people who five years ago would have rolled their eyes at the idea. That instinct is not paranoia. It is pattern recognition, and the pattern is worth walking through carefully.
Editor’s Note: Heaven’s Harvest IS a sponsor, but the warnings of this article are real and would be written even if we didn’t have a survival food sponsor. With that said, those who take advantage of what they offer can use promo code “Patriot” for 15% off.
The Fertilizer Clock Is Already Running
While the Pacific warms, the second shock has been unfolding in the Strait of Hormuz. The conflict with Iran turned the world’s most important energy chokepoint into a contested waterway, and the consequences reach far beyond the gas pump. Roughly a third of global fertilizer trade moves through Hormuz, and the disruption sent urea prices up 86 percent year over year by March, with a 53 percent jump in a single month.
The World Bank projects energy prices rising about 24 percent in 2026 and fertilizer about 31 percent. By its own accounting, fertilizer prices ran 35 percent higher in the first five months of this year than the same period last year.
Here is the mechanism the nightly news will not explain. Fertilizer is not a grocery item. It is a time-delayed input. The nitrogen a farmer in Iowa or Punjab could not afford to apply this spring does not show up as a problem this spring. It shows up as a thinner harvest six to twelve months later.
The World Bank’s own food security brief concedes that the effects of reduced applications earlier this season “are likely to become visible only later in harvest outcomes.” Translate that from institutional language into plain English and it means this. The damage is already done, it is already in the ground, and we are simply waiting for it to arrive on the shelf.
Now check the calendar. Six to twelve months from the spring planting season lands us squarely in late 2026 and early 2027. Which is precisely when the strongest El Niño in the instrumental record is forecast to peak, bringing its signature droughts to Southeast Asia, Australia, southern Africa, northern Brazil, and South Asia, the very regions that grow the world’s rice, sugar, and oilseeds.
The World Bank warns openly that a strong El Niño “could disrupt multiple crop belts simultaneously” on top of the conflict-driven input costs. Their baseline projection assumes the Middle East disruptions ease by autumn. What in the last two years of Middle East history suggests that assumption is safe?
The System Has No Slack Left
The comfortable answer is that global markets always adjust. But adjustment requires slack, and the slack is gone. Global cereal production is expected to decline from last year’s records even before El Niño does its work. The UN World Food Programme, hardly a den of right-wing preppers, is calling this the most significant disruption to its supply chains since Covid and the invasion of Ukraine, and its supply chain director put the stakes bluntly.
Today’s supply chain challenges are tomorrow’s hunger crisis.
There is also a political dimension that markets cannot price. When food gets scarce, governments do not behave like economists. They behave like politicians. Export bans, hoarding mandates, and panic buying at the national level turned the modest rice shortfall of 2008 into a global crisis, and analysts are already warning that import-dependent nations are the first dominoes.
The 2015-16 Super El Niño, a far weaker event than what is now forecast, threw tens of millions into food stress across Africa and Asia. This one is projected to be stronger, and it arrives with fertilizer already rationed by price and shipping lanes already contested by missiles.
What Joseph Knew
Scripture does not treat preparation for lean years as faithlessness. It treats it as wisdom delivered in advance to those willing to act on it.
Behold, there come seven years of great plenty throughout all the land of Egypt: And there shall arise after them seven years of famine; and all the plenty shall be forgotten in the land of Egypt.
Joseph did not respond to that warning with a hashtag or a committee. He stored grain during the years of abundance, and when the famine came, Egypt stood while its neighbors begged. The lesson is not that famine is certain. It is that the time to prepare is precisely when preparation still looks optional.
Nobody who filled a pantry in a year of plenty has ever regretted it, and nobody standing in an empty aisle has ever been glad he waited for certainty.
None of this calls for panic, and panic is the enemy of sound judgment anyway. It calls for the same unglamorous prudence our grandparents considered ordinary. Keep some cash margin, know your local growers, and put real food in deep storage while it is cheap and available, because the entire arc of this story is that cheap and available is a closing window.
Families looking for a straightforward place to start can visit Heaven’s Harvest and use promo code Patriot for 15 percent off long-term storable food. The forecasts may yet soften, the strait may yet reopen, and we should pray they do. But hope is a fine thing to hold and a foolish thing to eat.
That hits the lower income folks a whole lot harder than it does the higher income households. It’s like a brand new tax. It *IS* a brand new tax.
You’d have to be totally nuts to vote for another Dimocrat as long as you live.
Who in their right mind would vote for a Democrat. More taxes, more crime, more anger, less prosperity, less education, less respect in the world, less peace.