‼️ Russia: “The government indexed social pensions by 14.75%”
There are all these signs that “official” inflation is wrong. But people STILL continue to treat it like it’s an accurate measurement.
https://www.kommersant.ru/doc/7563827
There are all these signs that “official” inflation is wrong. But people STILL continue to treat it like it’s an accurate measurement.
https://www.kommersant.ru/doc/7563827
Comments
Which is up ~2.5% over the last month, and back to where it was in early December.
Since this bond stat was a bit lower than official inflation pre-war...
... inflation is ~23%?
That is, the yield curve is becoming increasingly inverted (high yields under a year, much lower yields at 5-10-20 years).
1/
Once everyone gives up on a ceasefire / Ukrainian capitulation (which is just not happening), I expect the bond yield curve (inflation expectations) to return to uniformly high.
I'm assuming inflation is accelerating now because the russian central bank has chosen to keep the key rate in place last 2 meetings.
Probably will keep it the same come march 21st.
Which is almost 13,000% a year.
In common usage, 100% a year is often labeled "hyperinflation".
Either way, inflation in Russia today is bad, and it appears to be getting worse. We'll see how bad it gets before people become ungovernable.
Which would be ~23-24% today, which is a long way off from the classical definition.
Inflation will increase as the government runs out of assets to sell and switches to printing more money.
¯\_(ツ)_/¯
It is also a way of life - always checking what is the accuracy of information you're getting. Not whether it's true or false, but by how much it's false.
Where is the russia coming up with the money to increase pensions by 14.75%?
I'll be surprised if Krasnov isn't involved.
Brrrrrrt