Not even close to transitory. After giving its turkey advice for Thanksgiving, the Federal Reserve finally gave up completely on the “Inflation is transitory” chorus it has been singing all year.
When caution is thrown to the wind, we begin to recognize that the market may be moving into a dangerous euphoric state from which a long-term bear market can begin.
The US central bank has apparently taken on a new mandate — being your dietary coach, advising Americans to fight the inflation it helped ignite by eating tofurkey and other soy-based foods for Thanksgiving, instead of turkey.
His technical indicators are flashing warning signs, reaching "technical excesses unseen since the Great Depression", suggestive of a major deflationary period in most asset classes..
When I left school many years ago, human population growth was already becoming an issue. Back then it had reached about 3.7 billion, but now it has arrived at 7.9 billion..
The machines that run the markets will do whatever they are programmed to do and the rest of us will swim in their wake or fight them. It’s our choice. But so too is cash.
The Fed is at a crossroads.
They can either let the US Dollar collapse or they can fight inflation.
At some point, something is going to break in the current situation.
