Hopefully they overshoot and prices plummet in response.
Real Inflation is over 20%. The fed would need to raise the interest rates to over 20% to even put a dent in it. The fed is talking about easing now after a month of raised rates. Their balance sheet increased in June instead of decreasing. If the fed doesn't do another rate increase were going into hyper inflation.
It is transitory, they just got the time scales wrong, I see it in a lot of businesses, they'll be forced to lower prices to liquidate inventory. Remember that what the commercial market gets is ~2 years after production begins, corporations produce expecting that people will continue consuming, when they don't, they're suddenly oversaturated and have low demand. In order to entice people to buy, they will give discounts in order to make room for new inventory. Because raising interest rates, corps that were relying on credit suddenly need more liquidity in order to avoid higher interest payments, and liquidating old stock is a good way to do this. The overhead you got during the boom will lessen the shock of giving steep discounts in your quest for liquidity.
When you make changes in one direction, the changes take time and like a boat once the direction is changed it has a lot of inertia, and changing course once again will take time. If you turn too sharply you will overshoot, once you overcome the inertia.
Stagflation. Hyperinflation in basic needs and deflation in everything else. Theres the other factor to this even those commodities no one is buying will probably go hyperinflationary eventually just after they deflate. Because those items are almost exclusively imported and places like china will not want US dollars to export them here. So there will pe a period where no one wants them and they are abundant then transition too completely unavailable.
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