Companies compete for resources. When there is more money out there (low interest rates from the Fed) companies will be able and willing to pay more for resourc

Companies compete for resources. When there is more money out there (low interest rates from the Fed) companies will be able and willing to pay more for resources. When that happens it becomes more expensive to create products which lowers margins. Companies need to keep margins at a certain level (effort is related to … is the profit worth it to run this business?) prices need to go up to keep those margins. Commodity and base resources go up—>retail prices go up Very simplified explanation.