Showing posts with label explosive inflation. Show all posts
Showing posts with label explosive inflation. Show all posts

05 October 2022

The Fed Will Pivot - First They Must Find a Way to Save Face.

There is no question the consensus of the Federal Reserve Board is to slow rate hikes and quickly restart a quantitative easing program to avoid a 2008 style international financial crisis.

No Question.

So, will they do it? Of course, just as soon as they can manufacture a plausible reason for their sudden reversal. Ah ha, here we go. October 13 brings the newest inflation report for September. Prepare for it to be spun like a yo-yo doing walk the dog. Whatever the number is, it will be 'positive news on inflation, proof the Fed is winning the battle' or something similar. 

But that's ok. The USA economy will benefit, and so will all the citizens, except maybe the Democrats who have been in charge of the country for the last couple years. 

Here's a good take from MarketWatch. (Long but good read)  

Investors are dismissing --- or maybe even welcoming --- signs of cracks in the global financial system. Here's what's at stake. - MarketWatch

04 October 2012

The Enemy Approaches Unseen - and Will Strike Soon!

Inflation is a killer. In more ways than most imagine, by higher prices up the chain from manufacturing, food production, then transportation, distribution, and final delivery. With the QE Train at full speed, it is only a matter of time before it strikes, and strikes hard. The only question is whether there will be a brief deflationary period before the monster surfaces.

And now we find the 'experts' are predicting 'explosive inflation'.

Quoting the article at Zerohedge, 'In short: the Fed's DSGE models fail when applied in real life, they are unable to lead to the desired outcome and can't predict the outcome that does occur, and furthermore there is no way to test them except by enacting them in a way that consistently fails. But the kicker: the Fed's own model predicts that if the Fed does what it is currently doing, the result would be "explosive inflation."'

Read more: Explosive Inflation Predicted

Beware and Prepare!