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You Just Pocketed 89% From Our Recent Inflation Warning

We’ve been telling you folks for months that the pesky surge in prices we know as “inflation” has been showing up in different spots within the U.S. economy.

In early April, Shah Gilani – editor of our Capital Wave Forecast and Short Side Fortunes advisory services – told us that food prices were spiking. And he even re-recommended an “old friend”.

Folks who acted on that advice have pocketed a 27% gain in less than four months…

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U.S. Economy- Money Morning - Only the News You Can Profit From.

  • What a Debt Ceiling Stalemate Will Do to the Market

    Yesterday (Monday), Money Morning Chief Investment Strategist Keith Fitz-Gerald appeared on FOX Business' "Varney & Co."to make projections about what a stalemate on the debt ceiling will do to the market.

    We are a little more than 24 hours away from the day that Treasury Secretary Jack Lew has said we'll exhaust the "extraordinary measures" and go over our debt limit. But even with the impending deadline, over the last five days the market has shakily climbed, with the Dow up 2.35%, Nasdaq up 1.16%, and the S&P 500 up slightly to 1.9%.

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  • How Much Does the Government Shutdown Cost?

    While the U.S. government shutdown may merely be an afterthought or an inconvenience for some people, it's costing the economy and taxpayers plenty.

    So how much does the government shutdown cost?

    The daily tab for the government shutdown is a whopping $160 million.

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  • How to Prepare for the Debt Ceiling Deadline: Oct. 17

    Investors have started to hunt for how to prepare for the debt ceiling deadline since U.S. Treasury Secretary Jack Lew put a date on the day the country will hit its borrowing limit.

    "If we have insufficient cash on hand, it would be impossible for the United States of America to meet all of its obligations for the first time in history," Lew wrote in a letter to Congress sent Sept. 25, when he noted that Oct. 17 is the day we hit the debt ceiling.

    you can take steps to protect yourself...

  • The Most Disturbing Fact About the U.S. Economy Today

    There's a question no one wants to ask, but it's time we do: What happens to the U.S. economy if American consumers get so financially strapped that they stop spending money? You see, it's a well-known fact that 70% of the U.S economy depends on consumer spending. If consumer spending slips, it will weaken the […]

    Now imagine what that will do to the U.S. economy...

  • Will the Government Shutdown Affect the Market Long Term?

    This morning (Monday), FOX Business' "Varney & Co."hosted Money Morning Chief Investment Strategist Keith Fitz-Gerald to ask, "Will the government shutdown affect the market long-term?"

    The majority of pundits believe the market will go up when the shutdown ends, as more confidence and predictability return.

    However, Fitz-Gerald isn't convinced...

  • Fed Strategy from Mohammed Ali

    Bernanke's actions last week – failing to taper, yet still trying to maintain the illusion that QE is a good thing – are setting up a one-two punch that's not unlike boxing champion Mohammed Ali's famous "float like a butterfly, sting like a bee" approach.

    If you recall, Ali was a master of the combination – some say the best ever. He loved to bring his opponents in close. Ali could see through the duplicity of his opponents' strategy and land punches that won decisively.

    Ali did that using combinations that were based in fighting terms on two contrasts: high-low or short-long, or even left and right. He pressed every advantage he could find, even when others thought there were none to be had. Knowing he wanted to go the full 15 rounds, Ali developed a strategy that would become known as the "rope-a-dope" as a means of tiring out his opponents early on, then vanquishing them in later rounds when the fight really began.

    I think we should take a page from Ali's playbook and split the "fight" Bernanke's presented us with into two distinct time zones: the current "round," and those that happen down the line. One short. One long.

    Is that possible?

    Absolutely. What's more, it's easy to do.

    First, though, put yourself in Bernanke's place...

  • Recession 2013: The Signs Don't Look Good

    You won'thear any talk about a Recession 2013 from the president, or from whoever happens to be the next Fed Head, or from anyone of either party in Congress. You won't hear about it on the news, either.

    Listen to them and you'll hear that the economy's turning a corner. "Growth has returned… unemployment is falling… the markets are at all-time highs… things are looking up all over."

    What a relief, right?

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  • The QE Helps, But Expect Higher Gold Prices Regardless

    The U.S. Federal Reserve pixie dust resulted in higher gold prices this week, much as it lifted silver prices and stocks.

    Gold buyers reacted enthusiastically to the Fed's announcement on Wednesday that it would not reduce its $85 billion a month bond purchases, known as quantitative easing, or QE for short.

    Gold prices leaped the most in 15 months, after the Fed's "no taper" move, to about $1,365 an ounce.

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  • The Ten Strange Numbers That Are Running Everything Right Now

    9% of working-age people on Earth were unemployed, at least as of 2012. This number represents underemployment and unemployment in non-industrialized countries, as well. Things are tough all over, it seems, and not just in the United States. </p

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  • Here's What $1.2 Quadrillion Looks Like

    The global derivatives market is big. Really big. So big – and so unregulated – in fact that no one really knows exactly how big it is, but the very best estimates put the notional value at $1.2 quadrillion dollars. That handily beats the entire world's "GDP" of $71.8 trillion. The number is so big that it really defies anything on a human scale. Humans don't do quadrillions of anything – at least not usually.

    Or think of it this way: There are about 2 quadrillion stars in the "El Gordo" cluster, the largest cluster of galaxies we've observed so far. The derivatives market is galactic in scope.

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