Crypto Rover
@cryptorover
🚨 BIG WARNING: US ECONOMY IS HEADING TOWARDS STAGFLATION
Just now, US PPI and Core PPI data was released.
US PPI came in at 2.9% vs. 2.6% expected.
US Core PPI came in at 3.6%, its highest level in 11 months.
This is a clear sign that US inflation is heating up again.
But what about GDP?
Well, US Q4 GDP came in at 1.4%, its worst print in 3 quarters.
This means the economy is shrinking while inflation is heating up.
That’s what stagflation is, and it’s the worst possible thing for an economy.
During such periods, easing monetary policy boosts GDP but makes the inflation situation worse.
The tightening policy brings inflation lower, but GDP gets even worse.
This means the Fed is completely trapped now, and nothing good will happen without breaking the economy first.
🚨 BIG WARNING: US ECONOMY IS HEADING TOWARDS STAGFLATION
Just now, US PPI and Core PPI data was released.
US PPI came in at 2.9% vs. 2.6% expected.
US Core PPI came in at 3.6%, its highest level in 11 months.
This is a clear sign that US inflation is heating up again.
But… pic.twitter.com/sLT1IxjTD2
— Crypto Rover (@cryptorover) February 27, 2026
The US PPI report came in hotter than expected, particularly for the core measure.
January core PPI rose 0.8%, significantly surpassing the 0.3% consensus and marking the highest monthly increase since March 2022.
The headline figure also exceeded expectations at 0.5% (against a…— Mohamed A. El-Erian (@elerianm) February 27, 2026
Per Grok: The January PPI beat expectations (2.9% YoY vs 2.6% est; core up 0.8% MoM vs 0.3%), driven largely by businesses passing on tariff-related costs—e.g., 14.4% jump in equipment wholesaling margins and 2.5% in trade services, per BLS/Reuters. Energy & food eased, but underlying pressures rose. Tariffs are a key factor here; other elements include services pricing. CPI remains ~2.4% YoY for now.
Breaking News: Inflation is not under control.
Congress is not spending less.
Companies costs are not lower and here is the January report that is causing the Stock Market reaction.
The Dow is down by 528.00(1.06%) https://t.co/JNcteawSXC pic.twitter.com/QUkOwCsAXy
— Wendy Patterson (@wendyp4545) February 27, 2026