How Your Rent Check Reveals Inflation Math

New CPI data shows shelter inflation still running hot at 5.2% annually, even as headline CPI hit 4.2% in May 2026. Lucas and Luna break down why the government's 'owners' equivalent rent' calculation — which estimates what homeowners would pay to rent their own home — is the single biggest factor keeping core inflation elevated. They walk through how a hypothetical $2,000 apartment gets split into actual rent and imputed rent, and why this matters for Fed policy. Along the way, they discuss the recent jump in the 10-year breakeven inflation rate to 2.31%, and what it signals about market expectations. If you've ever wondered why your rent keeps rising but official inflation numbers seem disconnected, this episode connects the dots with a concrete example. #Inflation #CPI #ShelterInflation #OwnersEquivalentRent #Rent #FedPolicy #CoreCPI #BreakevenInflation #Economics #CostOfLiving #Housing #MayCPI #FexingoBusiness #BusinessPodcast #LucasAndLuna #InflationExplained #PriceIndex #MonetaryPolicy Keep every episode free: buymeacoffee.com/fexingo