The transitory vs. permanent inflation debate seems to have come to an end with almost everyone throwing in the transitory towel, but could that be the timing to start debating inflation again? “Permanent” inflation also means volatile inflation. The transitory vs. permanent inflation debate seems to be over as almost all consensus economists except for Christine Lagarde have started to warn against the current inflation pressure. The dark horse in the Fed chairman race, Raphael Bostic, even labelled transitory as a “dirty word” during the week. The sharp rise in the trimmed CPI measures was probably the final nail ... (full story)