Ken Brackett With Lighthouse Financial Releases New Information Concerning Inflation

Online, September 20, 2013 (Newswire.com) - Ken Brackett has usually contended that the Customer Price Index (CPI), is really a faulty measure of inflation. Incidentally, the CPI is what the cost of living adjustment for Social Security Earnings (SSI) is linked to. If you believe that your SSI isn't keeping pace using the increasing cost of living, you are correct. What is frustrating is that oftentimes when SSI is adjusted upwards due to the CPI, there's usually a corresponding increase within the Medicare component B premium. Among the shortfalls from the CPI is the fact that it excludes two of the greatest costs that we face today: energy and meals. We all know that the cost for energy and meals have elevated significantly.

Numerous individuals are concerned about inflation and also the dollar loosing value over time. The great news is the fact that you will find inflation linked securities that really profit in the increase in inflation. Once once more however, this profit is tied to a rise in inflation as measured by the CPI.

On a longer term basis, Kenneth thinks that this nation will see much higher inflation then the 3% that we have seen for a lot of years. Numerous seniors remember the early 1980s when we had double digit inflation. Because of the Federal Reserves intervention, Ken believes that we'll see inflation remain low through 2016. Part of this really is because of a Fed target inflation price of 2% and towards the fact that the Fed will maintain the overnight lending price to much less then 2%. As a result, we will see the bond marketplace continue to go stale and equities should continue to complete well (particularly if the Fed continues their bond buying program).

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