Remember, markets are forward-looking to what might happen 6 to 18 months into the future. Most of the Fed’s rate hikes are already priced into the markets. The market is already thinking that the induced recession caused by the rate hikes will force the Fed to only lower them to fight the evident recession they created. More free money is coming – fuel for the markets. This is what the markets are digesting now.
Inflation has been brutal on the price of everything. It’s the not-so-hidden tax on Americans and usually the result of meddling from high up the political food chain. If you need a visual of the pain, here’s a video of a graph that shows inflation in real terms. It compares these items to the price of things from January 2020 and plots the prices up to June of 2022.
You can’t overstate the havoc that we’ll have to live with in the months ahead, short of blowing up the whole joint, one can hope. And it will happen just as a gigantic set of pretenses to a New Order of things rolls out to thumping failure. Forget about central bank digital currencies. Don’t believe that the very people who have severed the relationship between actual capital and money can just magically conjure a new order of money that they propose to control and you don’t.
Is a coming food crisis coming? Well, our elite overlords seem to think so. UN Secretary-General António Guterres said the war in Ukraine has added to the disruptions caused by climate change, the COVID-19 pandemic, and inequality to produce an “unprecedented global hunger crisis” already affecting hundreds of millions of people. Former Trump Deputy National Security Adviser KT McFarland says a major food shortage is coming in the next few months.
Now Biden has declared a climate emergency. He figures that he can force U.S. manufacturers and oil producers to produce more, which will force prices to drop. He figures he can open our markets to foreign Green Energy products which will drop prices further. Tariffs that protect our domestic producers, forget them in the effort to get more Green energy products here cheaper, and sooner.
It has to make Maggie “I vote with Biden 98% of the Time” Hassan happy and unhappy. When she proposed that gimmick, her press sold it as bucking her party, but that ship sailed, took on water, and sank. Almost everyone inside the beltway with a (D) after their name feels a bit like a deer staring down the headlights of an onrushing November election. If a gimmick keeps them from gasping for their last political breath in a rhetorical ditch on November 9th, they’ll embrace it.
But in addition to the other, aforementioned factors driving America’s labor shortage, including the wage-price-spiral, we also have this undeniable reality: Biden, Buttigieg, and the Democrats embrace laziness. They think it’s great when folks get to sit on their ass. Unemployment benefits? Sure, stay out as long as you need. You’re running out of money? Don’t sweat it, here’s a check.
During his campaign, the current pretender to the office of President promised to completely eliminate fossil fuel use in the US. Acting on the thoroughly debunked theory that CO2 from fossil fuel use was causing the climate to change in catastrophic ways, this pretender to the office has issued several Executive Orders that have taken large steps toward fulfilling his promise.
America is sitting on more oil reserves than any other nation in the world, and all of what we now endure has been so unnecessary, except for the fact this is what Red Joe and the Democratic Party Communists insisted we must do. They insisted on shutting down fossil fuels for some fantasy Green Utopia that no one will ever see in this lifetime, supposedly to make us “energy independent”, as they have selectively forgotten we were energy independent under President Trump’s administration.
The Federal Reserve Bank Act of 1913 has its’ roots in the blackmail of Woody Wilson. He and members of congress were bribed or blackmailed into the support of the entirely new financial system for our country used to benefit Wall Street. The purported idea was to eliminate large swings or “panics” in the economy. The Fed was actually designed to make sure the banks survived their incompetence and greed.
The airline industry reels with a sucking chest wound due to a pilot shortage (thanks to vaxx mandates) and the high cost of jet fuel. The trucking industry’s business model is also broken with diesel fuel over six dollars a gallon — the cost of delivery exceeds the value of the cargo. America runs on trucks and if they stop running, so does everything else.
No, the reason why CNN and others are starting to report accurately on the dumpster fire known as the Biden Administration is not that they’ve seen the light and are now practicing journalistic integrity, it’s because they see the writing on the wall. They recognize that their cronies in government are going to lose power if they keep their wagon hitched to Biden.
That means your electric rates will need to be adjusted upward again, and no, it’s not Putin’s fault you could be paying three to five times or more than you do now to charge that electric vehicle they insist you’ll have to drive. To cook, use lights and appliances, and even heat or cool your home. Those costs are all going up exponentially thanks to the Democrat’s war on fossil fuels.
Everybody was thrilled to get stimulus checks in the mail during the COVID-19 pandemic. “It’s free money!” many exclaimed. But nothing in life is free. This includes “free” things handed out by the government. According to estimates by Bloomberg Economics, US households will spend $5,200 more this year than they did last year on the same consumption basket. That breaks down to $433 extra in expenditures every single month.
What is particularly interesting about this chart is that today, Americans’ personal financial situation is not that bad, though the trend is definitely down. It is the six-month outlook that is most troubling. They see the storm clouds building. This perception will cause purchasing decisions to turn negative and then becomes a self-fulfilling phenomenon. Politically, it also spells trouble for the Democrats in the 2022 midterm elections.
Once again Bezos’ comments were on the money. The spending bill Sen. Joe Manchin (D-WV) courageously rejected in December and then again in February, the bill known as Build Back Better, would have only exacerbated inflation. Significantly. The more money the government spends, the more heated the economy becomes. For an administration to try to spend their way out of an inflation crisis is like a 600-pound man trying to eat his way back to a healthy weight.
With the possible exception of Transportation Secretary Pete Buttigieg, there’s no one who is more responsible for the current food crisis than Biden himself. Perhaps that’s why Biden is pretending it doesn’t exist because if he was going to be fired up and start yelling at someone about food shortages, he’d have to go and yell at that old coot in his mirror.
While the US has been shuttering refineries, China has invested in them. In fact, for most of 2020, China’s refineries processed more crude than U.S. refineries. In April 2020, more crude oil was being refined in China’s refineries than in U.S. refineries for the first time on record, and the trend continued for all remaining months in 2020 except for July and August.
The way financial markets puked this week, they must have started reading the news. Let’s face it, the headlines are a little short of reassuring. The $6.49 price on a gallon of diesel is enough alone to tell you that the nation can’t do business the way it’s set up to do, and there isn’t a new model for running things ready to launch — not even Klaus Schwab’s utopia of robots and eunuchs.
Whether you believe these investment policies would significantly affect climate change or the climate change narrative given by mainstream media is another story. Regardless of any genuine Oil supply-demand issues or even geopolitical concerns, Oil is set to go significantly higher in the next year or two ahead.
We can see the economic deterioration virtually anywhere we look, and we can feel the economy slipping. We’re watching our economy being driven off a cliff in a blue convertible, and we can see the senile buffoon in the White House behind the wheel with the accelerator floored and a stupid look on his face.
So, shall we implement government social plan “A” or government social plan “B?” Let the debates start. But before we do this, perhaps we must consider the cost of the change in our culture over the past few decades that has led us to this point.
What has happened to the traditional family, who in the past have managed and regulated these types of issues? So many families are broken and the youth is being managed by Hollywood and social media – we are so wonderfully woke now. Has this served us well? Perhaps we should start here first.
So what is going on here? Perhaps what we are seeing in the US is a real change in the culture and the economic models brought on by the various crises – social justice (e.g., BLM movement), Covid, climate change, and now Ukraine, for example. It is a radical part of Left-wing politics consuming America. Some have attributed it to what is called the Great Reset.
Late on Friday night, when most of us were either sound asleep or out kicking… Read More »Blue State Bullies: Illinois Dems’ Outrageous Strong Arming Of Small Businesses
This week Gov. Ron DeSantis blasted President Joe Biden over what he calls, “Bidenflation” and the rising costs of rent and gas. In response to a question about rising rents in Florida, DeSantis said “general inflation is causing” rents to spike, and noted the Centers for Disease Control and Prevention (CDC) moratorium on evictions.