Stagflation!
Fed Gives Up on Inflation as US
Declines Ahead of November Elections
Lena Petrova Video
4 Key Points made in the Video.
1.) The Federal Reserve is done fighting
inflation and now is going to drop rates in an attempt to propel employment forward. The most likely outcome is stagflation.
2.) Treasuries no longer perceived worldwide
as the premier safe haven investment. Bond
holders perception seen no different in quality than treasuries of France,
Germany, and England or high quality corporate bonds. Current interest expense now exceeds defense
spending budget.
3.) Federal Reserve Chairman indicated in
typical Fed speak – I’ll translate – that the economy is doing far worse than
reported.
4.) The Dollar Index declined 10% after
Chairman Powell’s statements.
Conclusion:
Expect over the coming years…STAGFLATION!
Shadow Stats by John Williams click HERE to see the real inflation numbers!
Four areas that respond well financially
in a stagflation environment to preserve your savings purchasing power.
Silver bullion
Gold bullion
Short term U.S. Treasuries 2 years or
less.
Foreign currencies with ultra low
inflationary economies – Swiss Treasury notes and bonds or savings accounts.