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Inflation dipping just means the rate that things are getting more expensive has slowed slightly.

True and while 10.5 yoy is bad you definitely don't want deflation.
Inflation dipping just means the rate that things are getting more expensive has slowed slightly. 
There is no "but". People feel the pinch and will continue to feel the pinch because things are constantly going up in price at a rate faster than earnings. Even if inflation suddenly went to 0% You'd feel the pinch.