News Flash: Core inflation rises to 40 year high, markets plunge as their (misbegotten) expectations for a lower number are once again dashed.
I'm a broken record, a repeat of Groundhog Day, a Yogi Berra aphorism. But, I repeat myself (ha, ha).
Once more, with gusto: inflation is not going to go down until the Fed shrinks its balance sheet substantially and reduces money supply. Just raising interest rates is not enough.
It's really NOT rocket science...
Core Inflation At 40 Year High
And then the algos kicked in and orchestrated a massive 180° turnaround. Will it last?ReplyDelete
Indeed it was...ReplyDelete
Will it last? I think that people keep on betting “this is it, it can’t go any lower”, “this is it, inflation will start coming down” … in other words, they keep hoping.ReplyDelete
But significant bottoms inly happen when hope is gone.