By Duncan Smith
Well, for all the world, it sure looks like Federal Reserve Chairman Jerome Powell is telling heap big whoppers again so he can avoid raising interest rates on a government that can’t afford to pay higher interest on its massive debt.
Fox Business reports:
Powell, speaking before the House Select Subcommittee on the Coronavirus Crisis, said he was confident that inflation was “transitory,” but that it was difficult to know when it would cool.
The testimony comes a day after the major averages posted their biggest gains in at least a month, buoyed by comments from New York Fed President John Williams, who said the U.S. economy isn't strong enough for the central bank to shift policy.
Tell us again how this guy got to be the Fed chairman and claim to have no clue when the current inflationary cycle is going to end — because we know.
The answer: Not for months and maybe as long as a year.
From an intelligence report we get:
Ongoing global supply-chain disruptions are expected to continue until next year at least. Not due solely to available inventory up and down the manufacturing chain; labor shortages and commodity manipulation are also being blamed. Analysts expect an impact on back-to-school shopping as many of the supplies and educational materials are manufactured overseas or rely on international midstream partners. Jeffries' chief economist Aneta Markowska said, 'There's a very good chance that you're going to have severe product shortages by September.' The impact on consumers is being passed along through price-increases and decreased availability of once common products.
So — there’s no way Powell and the rest of the schmucks at the Fed and other government financial institutions know this?
Of course, they know. They’re talking down the threat to keep the market high and to keep from having to finance a bigger debt payment.
But when you don’t see prices fall over the next several months, now at least you know why — and know that Powell’s lying to you.
Biden's inflation is GETTING WORSE by the month...
Around the world, supply chains continue to be disrupted. Delays are now commonplace. And they're going to get worse.
There IS a financial reset coming - that's just true. All the signs indicate as much.