Economist Reinhart on How Fed Sees December CPI Report

The video discusses the complexities of inflation, highlighting the roles of commodity and energy prices, core inflation, and market expectations. It emphasizes the challenges in managing inflation due to its embedded nature in contracts and the slow process of economic adjustment. The discussion also touches on the market's anticipation of economic trends and the reality of current economic conditions, particularly concerning wages and prices.

What are the two of the three planks to the story that the markets rely on?

What is the significance of wages and prices in the context of future inflation concerns?