Inflation is everywhere

Despite the lies and subterfuge of official figures inflation is rearing it's head everywhere particularly in energy and food costs. Higher input costs for US companies have been showing up in a variety of industries.

Kraft (KFT) third quarter earning were hit by higher dairy costs.

Starbucks (SBUX) has also been hit by higher milk prices.

Sara Lee (SLE) Sara Lee' was hit by rises in the price of wheat, poultry and pork, which rose 12% from a year ago.

Today higher input prices showed up in Australia's largest bread maker Goodman Fielder (GFF). From Bloomberg:

Goodman Fielder Ltd., Australia's largest bread maker, had a record decline in Sydney trading after saying profit growth may stall this year because of surging wheat, food oils and dairy prices.

Profit before one-time items is ``likely to be around the same level as for the previous financial year,'' Sydney-based Goodman Fielder said in a statement today. The stock fell 12.5 cents, or 6 percent, to A$1.98 at the 4:10 p.m. close of trading in Sydney.

Prices have risen so quickly companies have been unable to offload all the increases to consumers. However prices are rising for consumers and the game of pass the buck never ends well. Official figures in the US would have you believe that wage growth is offsetting the increase in inflation. However the official numbers are purpose built to play down real inflationary pressures. For anyone interested you can read more about it here at shadowstats.com.