How we stopped inflation without a recession (hint: by not stopping inflation)

Do we really have no hangover after the largest economic orgy in history - more than $10 trillion in fiscal and monetary stimulus in 2020 and 2021? The charts below suggest we're still just drunk.

The inflation crisis is over.

Or is it?

This morning a reader sent along an interesting analysis of Thursday’s supposedly positive inflation report showing that prices in July rose 3.2 percent annually - and an even more interesting chart.

First a little background. That 3.2 percent number is “headline” or overall inflation. That headline annual figure pea…