Inflation eased in October with consumer prices up 3.2% from a year ago, the Labor Department reported on Tuesday November 14. That's a smaller annual increase in the consumer price index (CPI) than the month before when inflation came in at 3.7%. Inflation was flat on a monthly basis. "The markets have taken off like a rocket today under the assumption that inflation has been beaten," said DICK BOVE, chief financial strategist at ODEON CAPITAL GROUP. The Fed, which embarked on an aggressive interest rate hike campaign, is credited for the sharp fall in inflation from its peak of 9.1 percent in June 2022. "The Fed is now in a very strong place," says MAT VAN ALSTYNE, ODEON co-founder and managing partner.

Meanwhile, BOVE is out with a comprehensive new report on the unprecedented rise in the net worth of American households and non-profit institutions. "Americans are filthy rich. Thousands are becoming millionaires every year," he says. Still, VAN ALSTYNE says as many as 40 percent of Americans are living paycheck to paycheck. Our host, JOHN AIDAN BYRNE, reminds us of the Gini index, or Gini co-efficient of income inequality, frequently referenced by BOVE and VAN ALSTYNE, which paints a dark picture of America's income distribution. Meanwhile, there's inflation and then deflation. Inflation is finally emerging in Japan after years of falling prices. China, on the other hand, is battling deflationary pressures. China has many challenges to overcome in its economy, according to BOVE.

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