The Price Inflation That is About to Hit Will Catch the Fed Flatfooted

At the EPJ Daily Alert, I am getting very aggressive in my warnings about developing price inflation. From today's EPJ Daily Alert:

I have been watching markets for 30 plus years and this looks to me like we are very near the boiling point and the Fed has no clue. This was the most amazing comment that I found in the Fed's policy statement released yesterday:

The Committee recognizes that inflation persistently below its 2 percent objective could pose risks to economic performance, and it is monitoring inflation developments carefully for evidence that inflation will move back toward its objective over the medium term.

With the most recent CPI number hitting the 2.0% target, what the hell is the Fed looking at that it is concerned about below target inflation?

They are going to be caught completely flatfooted, when the price inflation accelerates. They will be too slow too act and they will be timid with any interest rates increases they institute. Continue to be an aggressive buyer of...

-RW