Yesterday, I published a chart showing velocity and acceleration of inflation. That chart showed acceleration near zero, meaning velocity would remain steady at a monthly increase of 0.5 percentage points.

Hennessy's View

Inflation Is Getting Worse, Not Better

I lived through the inflation of the 1970s, and I remember some things. I was just a kid, but I got interested in economics in high school because of inflation, interest, and recessions that seemed normal to me but terrifying to people my parents’ age…

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4 months ago · 1 comment · Bill Hennessy

But the March CPI released moments ago shows acceleration up, pulling velocity up to 0.75 from 0.5. The result was a catastrophic headline inflation of 8.5%—the highest since 1981.

So, add about 10% to everything I said in yesterday’s post, and we’ll cal it even.