Posts Tagged ‘stagflation’
More Inflation Followed by Deflation
Last week, here in “Portfolio Watch,” I provided evidence that we are in the ‘inflation followed by deflation cycle’ that I forecast in my 2011 book “Economic Consequences.” At this point in time, there is evidence of both. First, events this past week point to the Federal Reserve will have to reverse course…
Read MoreStocks on the Verge of a Major Decline?
In the “Positions” newsletter for paid subscribers, we have been noting that stocks may be in the early stages of a classic, Elliott Wave three down. Elliott Wave theory notes that markets tend to move in waves: three waves in the primary price trend and two counter-trend waves. The chart I created…
Read MoreStagflation and the Fiat Currency End Game
Over the past couple of weeks, we have been discussing the possible consequences of the recent debt ceiling suspension deal. This week, I want to offer you a perspective put forth by Matthew Piepenburg. While I’ll be sharing some of the piece with you, I would encourage you to read the entire commentary – it…
Read MorePossible Economic Outcomes
From where I sit, it seems that stagflation is the most likely economic outcome near term. Stagflation is defined as inflation combined with economic contraction. The official inflation rate is 8.5%, but any long-term reader of “Portfolio Watch” knows this official number is highly manipulated. The actual inflation rate, absent favorable adjustments…
Read MoreThe Fed’s Conundrum
Stocks rallied last week interrupting what looked like a possible set-up for a correction. Despite the rally stocks are extended here. Gold and silver continued their respective rallies as did US Treasuries. As inflation is heating up worldwide, there is growing interest in protecting oneself from the loss in purchasing power that comes with higher…
Read MoreMoney Printing, Inflation and Unintended Consequences
As I have been discussing for a very long time, the current economic policies being pursued will likely result in the realization of Thomas Jefferson’s warning to us more than 200 years ago. If you are a new reader, Mr. Jefferson warned us that we should not allow private bankers to control the issue of…
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