Economy Guy

The CPI came in at 5.4%, and that is inflationary.  The US Treasury bonds are decreasing in interest rates, and that is deflationary.  The market is at an all time peak, and if it cracks, it is deflationary.  What is going on?  How can we have inflation (and we all feel that inflation at the stores we shop in) and deflation at the same time?  Well today its inflation, and tomorrow (sometime) it will be deflation.  But when?  No one can tell you.

Where did the term "TINA" come from?  And, how is it being used today in the financial markets?  The bond market is rising - so what does this very significant move mean?  How is President Putin upsetting the French today - and why is the EU toothless in protecting the French?

In the strong US economy, there exist a few cracks and worries.  MMT is one of them as money printing does not create wealth, nor does it drive the economy.  No one is talking about Credit Default Swaps, but what if?  Buffett makes it clear that the US Government and FED are allowing leveraged speculation, but didn't previously.  Why?  

The 7 rules to follow when picking growth stocks in the markets by the founder of Investor Business Daily, the best financial newspaper on the planet.  What lessons can we learn from the history of margin debt in the markets?  What rumors are going around the FED today about a rate rise sooner than the Chairman stated?  

The FEDs are now thinking about raising interest rates in 2023, rather than 2024.  And, they think that inflation may average out at 3.4%, and not 2/0%.  That is amazing and confusing and real.

The CPI came in at 5.0% for May, but this didn't push the markets as one would predict.  The US Housing Market has a new buying organization pushing prices up.   A banker's banker is predicting inflation, followed by deflation, followed by BIG inflation.

There is a revolution coming to the Bullion Banks who control the price of gold today.  It is called the Basel III Agreement.  This is only positive for the price of gold in the future.  Some top economists think a great deflationary depression is heading our way, and I explain their thinking - so you can decide for yourself.  Isreal has a new government - so what changes are coming?

Why is the FED still pumping money into the US economy when the GDP (the whole economy) has recovered from Covid?  Why is the FED holding interest rates down - both FED Funds rate and mortgage rates?  IS Europe moving right?  Why did foreigners see $1% worth of US Treasuries last year, and what does that mean for the future?

The French are in a bit of turmoil as their election next year approaches - and this is explained.  Gold was the best market this last week, and it is showing.  The FED has the back of the stock market - right?  What happens if you are wrong?  The National debt can swamp the US economy permanently - see why.  When is a good time to sell gold?  This is explained.

Both the CPI and wages are going up, and going up strongly.  I think inflation is not only in our future, but is here today.  Why are we  having a shooting war in Gaza right now, and what is China thinking about Taiwan?  We now have a RED indicator as one of our six precursors to a market crash - and it is CPI (Consumer Price Index).