Tom Petruno: Is inflation wolf at the door? - latimes.com

Veteran Wall Street trader Victor Sperandeo had a chilling forecast for the audience at an investor gathering last month in Century City.

Hyperinflation, he warned, had become a serious possibility for the U.S. given the unprecedented fiscal and monetary stimulus supporting the economy.

That could translate into the consumer price index eventually rising at a rate of 50% or more per month, said the man known as Trader Vic.

Not unexpectedly, Sperandeo also had a product pitch for the 100 or so investors who were there at the invitation of money management firm Rydex SGI. In a time of hyperinflation, Sperandeo said, Rydex's so-called managed futures funds would be a way to ride what could be exponential increases in the prices of commodities such as wheat and gold.

We've reached a point where inflation has become Topic A in many discussions about what comes next for the U.S. economy and financial markets.

via latimes.com