Weekly Indicators for April 5 – 9 at Seeking Alpha
by New Deal democrat
Weekly Indicators for April 5 – 9 at Seeking Alpha
My Weekly Indicators post is up at Seeking Alpha.
The big news continues to be a bifurcation between the currently unfolding Boom, fueled by the fire hose of monetary and fiscal stimulus, and the fallout in the long leading forecast based on the increase in interest rates as a result.
As usual, clicking over and reading will bring you up to the virtual moment on the economic data, and reward me with a penny or two for my efforts.
But physical gold!
Good
luck
!
currently unfolding Boom, fueled by the fire hose of monetary and fiscal stimulus, and the fallout in the long leading forecast ” but there are specific micro-economic problems that we need to navigate. one is the semiconductor shortage for the automotive industry. how to get Taiwan semiconductor to build factories in this country? that’s very simple; you simply pass legislation that will prohibit labor unions from molesting the semiconductor industry for the next 9 years. Hands off of our national security!
a piece of
cake
!
Basing your investment decisions on indicators derived from the past is like driving the car using only rear-view mirror :-). I forgot to whom this quote belongs (buffet?) but there is some truth to that.
Add to this that government stats are distorted (we can debate how much), especially unemployment stats (U3 vs. U6 vs. reality). That same is true about inflation. This is highly politically charged metric and as such is subject to political pressures both in methodology and actual stats collection.
When 10 years treasures yield goes down from 1.7%, when stock market goes up and inflation is up too, that suggests rising level of fear.
Lemming (aka 401K speculators) are pushed from bonds into riskier assets. We saw this development before.
It is quite probable that stock market will be lifted further while economy as a whole deteriorates. Then what?
Nothing will revive business that were closed during pandemic. Situation with commesial real estate now is very interesting indeed.
The problem in the US economy are systemic and they can’t be patched with stimulus. Financial oligarchy needs to be tamed. Regulations needs to be restored. And some most obnoxious players jailed or eliminated by other means. Or, at least, the revolving door needs to be closed for GS and company. As Jesse put it
Jesse’s Café Américain (jessescrossroadscafe.blogspot.com)