We have been feeling cost inflation since January, and it seems the Fed may likely overshoot its interest rate cooldown in an effort to tame it. When staples like bread and eggs go up in price, a market cooldown of assets like housing or the stock market is not likely to bring down the price of these essentials due to their demand inelasticity. I expect we will see 6-10% inflation year-over-year for at least another nine months.
Here in the New York Times, there is a great description of the bread inflation costs and prices happening globally.
Here at the Ezra Klein pod, we hear about the devastating international effects of US interest rate increases due to a dollar-denominated global economy.