Yesterday, Fed Chair Yellen gave a speech in which she highlights three big questions for the Fed, the second of which is "Is Inflation Moving Back to the Fed's 2% Target?" That got me thinking about inflation in general.
So, let's take a look at U.S. inflation, starting with producer prices which have three different series: crude, intermediate and finished goods.
(click to enlarge)
The chart above shows the path of the total level for each of these data points for the last 34 years -- since the near hyper-inflation of the late 1970s. The first obvious point is that crude goods are extremely volatile, in comparison to intermediate and finished goods. Also note that crude goods have increased at a far higher rate than either intermediate or finished goods, a relationship which is more obvious when we compare these three data series' respective year over year percentage changes for
Ford's (F) earnings announcement for Q1 2014 is fast approaching. The company's stock has barely moved since late January.
Source: Yahoo Finance
Analysts are expecting 31 cents per share in what is expected to be a year of transition into new products.
At the heart of Ford's earnings will be its ability to generate revenue. On revenue, Ford is expected to generate flat sales for 2014, therefore a safe expectation for Q1 is zero sales growth.
In the United States, bad weather was to blame for Ford's bad January and February sales. While this may cause people to worry to about the company's financial performance, I believe investors should review multiple markets to see how sales are performing. To do this, I reviewed Ford Corporate web pages for the United States, India, China, and Europe. Additionally, captured the