Who are the big winners with the Feds move yesterday? Borrowers. Who are the big losers? Savers. A few readers questioned my motive a month ago why I went to all my credit card companies and requested credit line increases in this post. I by no means foresaw the Fed cutting rates by 1/2 point but I did suspect the easy money would be flowing again which is why I wanted to get more juice that I could tap.

If you’re an avid reader of Get Rich Slick, you know I like to play it both ways. I’ll borrow heavily at 0% and invest that money into higher yield savings. Heck, I’ll borrow at 0% so I won’t have to pay even a low rate on a secured loan on a car!

So this Fed rate cut will be a boon for my extra curricular investment activities. Unfortunately, the Fed rate cuts and money dumping will mean inflation will spike higher which is why I’ve added a new category called “Basket of Goods” which I will use to periodically post the cost of a basket of goods at the grocery store to track real inflation.

Last night, I stopped at the grocery store to buy a “basket of goods” which included the following items:

Item Unit Cost Total Cost
1 Dozen Eggs $2.09 $2.09
Horizon Milk – 1 Gallon $5.99 $5.99
16 oz Box Cereal $2.39 $2.39
1 Loaf of Bread $2.19 $2.19
12 oz Bacon Pkg $2.68 $2.68
Rib eye Steaks 2.32 lbs $7.98/lb $18.59
2.5 Gallon Ozarka Spring $2.69 $2.69
Total $36.62

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I’ll follow on December 18th with another basket of goods to see how much the cost have gone up.