Taps Coogan – July 13th, 2023
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No, retail prices at the supermarket haven’t gone down much. However, wholesale egg prices have roundtripped all the way back to pre-Covid levels as the following chart from Andreas Steno Larson highlights:
Egg-flation is GONE pic.twitter.com/EhyOhby2a1
— AndreasStenoLarsen (@AndreasSteno) July 12, 2023
Eggs are just one of numerous commodities that have wiped out all or most of the post-Covid price surges. US Henry Hub natural gas is down ~70% from its high last August, wheat is down ~50%, copper is down ~25% from its peak last February, crude oil is down ~40%, corn is down ~32%, freight shipping costs are down ~88%, spot trucking rates are down ~50%, etc…
No, consumers will not regain the purchasing power that was lost during the last few years but, barring unforeseen calamities, inflation is going to continue to come down and will likely be replaced by ‘recession’ as the economy’s main concern from here on out.
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