German Producer Inflation

It's now at 30% and this does not look good for Europe's biggest manufacturer

By: Rick Martinifa
Published: 12:06 PM, Apr 22, 2022

There does not really seem to be much media interest in the producer inflation rate in the largest manufacturing country in Europe. Except in the business sections..

https://edition.cnn.com/2022/04/20/economy/germany-inflation-producer-prices-record/index.html

In case you don't know this is the inflation measure for the raw materials that manufacturers purchase to make their good.

Logically this will filter down into higher purchasing costs for a lot of goods we buy here and in Europe. It won't be 30% rises, tax and sales tax and wage costs are not growing this fast but I think it predicts that inflation could be going upwards of 10% next year.

These are truly worrying signs, my only advice is consider purchasing any goods now or put it off until this all is over. And that may be some years. But get your cash into something that is also going to increase in value.

I'm looking at gold prices in particular and wondering when to make some large investments. I will be writing about that next week in more detail