Dear Fellow Expat: This morning’s CPI reading didn’t surprise anyone except for Paul Krugman. The embarrassing (but never embarrassed) economist has said over the last few months that inflation is falling. The same message goes for sycophants who are: Protecting their political asses. Doing all they can to deflect from the inflation they caused by […]CPI
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The Green Tragedy… and Red Momentum
Dear Fellow Expat: This morning’s CPI reading didn’t surprise anyone except for Paul Krugman. The embarrassing (but never embarrassed) economist has said over the last few months that inflation is falling. The same message goes for sycophants who are: Protecting their political asses. Doing all they can to deflect from the inflation they caused by […]Five-for-Five on PPI
Another morning… another vital government data release. Yesterday, we heard the Consumer Price Index (CPI) reading. And as Chief Trend Strategist Matthew Carr outlined, it would be a great day for bulls. The market reaction was precisely as expected. Today, Matthew’s back again, but this time the focus is on CPI’s wholesale counterpart, Producer Price […]The Best Stock Traders in Congress Win (Big) Again!
Postcards from the florida republic An independent and profitable state of mind. As you know, I love to follow insider buying activity – and the momentum it generates. When we talk about insiders buying stocks, we’re focused on the CEOs, CFOs, and the “10%-owners” in the organization, among others. Historically, executives who buy their […]What My Kid Gets About Inflation That No One Else Does
Postcards from the florida republic An independent and profitable state of mind. Who's ready for war? Inflation hit the Baldwin household hard this time. This week, my daughter received a “KiwiCo” box, a monthly subscription service that teaches children scientific- and nature-based lessons. In previous months, we made cars and learned about tire treads. […]There Are 209,000 Things Wrong with the June Jobs Report - and That's Just for Starters
Postcards from the florida republic : An independent and profitable state of mind. Six months ago, I sat in a small pub in the West Village in Manhattan with a friend from college. We've been friends for 20 years, and our banter wasn't much different than it had been in 2003. Old bits. Insider jokes. […]Earnings Season Starts This Week - Here's What to Expect
Postcards from the florida republic:An independent and profitable state of mind. Greetings from my daughter’s ballet class, where, as I’m writing to you, seven five-year-old girls are practicing tap dance. So… that's the world’s most annoying sound… If I can analyze the markets while this is happening, I can do anything. The S&P 500 and […]Postcards: Our Permian Idea Is About to Get Very Profitable No Matter What Oil Does
Dear Old Friend, Goldman Sachs says recent oil production cuts by OPEC will push oil prices into the $90 range by late 2023. You shouldn’t believe them. Goldman is notorious for being wrong with their oil forecasts. More than that, there’s good reason to believe they’re actually shorting oil prices… That’s why I’d love for […]Consumer Prices Slow and What That Means for The Fed
Wall Street’s indexes rallied Tuesday morning, led by the Nasdaq, which jumped over 3% after consumer prices rose less than expected and raised hope that the Federal Reserve could slow its pace of rate hikes.But the fade in the indexes tells the bigger story..
The fact is Tuesday’s report doesn’t change anything and let me tell you why…
Don’t Be Fooled by “Cooling Inflation” in the CPI
The moment the Consumer Price Index (CPI) was released by the Commerce Department at 7.7% the market cheered.All indexes opened up big and kept going higher.The NASDAQ Composite finished up over 7%, its best “CPI Day” run ever, and one of its largest one-day moves ever.
Let me tell you why this is not good news...
Complacent Investors Made This World-Class Protection a Real Bargain
If Mark Twain were alive today, he'd probably say that there are "lies, damned lies, and inflation statistics."
There just aren't many more important numbers that so many depend on and that are so regularly and maliciously manipulated.
You see, wages, pensions, and Social Security are all dependent in some measure on the Consumer Price Index. It affects the income of some 80 million Americans through contracts or indexation.
Unless you have this investment on your side...
Prepare Now for When the New MyRA Becomes "TheirRA"
In his recent State of the Union Address, President Obama unveiled something new: a retirement savings account to "help" Americans build a nest egg, coining it the "MyRA."
Something immediately felt wrong about the proposal... but I couldn't put my finger on it.
So I researched the new MyRA and found details to help you understand just how it works.
But I also saw some potential dangers there that you need to prepare for now...
The Four Most Rigged Economic Indicators
On August 2, the Bureau of Labor Statistics will report the official unemployment rate. But this number doesn't tell the accurate story of the jobs picture here in the United States.
That's usually the case with government-produced economic indicators. Whatever the government figure will say, it will not truly reflect reality. Simply put, it's a rigged number.
When it comes to cheating the numbers, nobody does it better than Uncle Sam.
U.S. investors rely on accurate government data in order to make investment decisions in various sectors of the economy.
But what if these figures reflected negative headlines on a near-constant basis? It wouldn't instill much confidence. And it certainly would cost a lot of people in Washington their jobs.
That's why Uncle Sam plays games with the numbers and presents a far rosier picture of the world to low-information voters and investors. But we're paying attention here at Money Morning, and that's why we're holding a spotlight on the fuzzy math in Washington.
Counting down, here are the four most rigged government statistics in America today:
To continue reading, please click here...
CPI Shows Inflation May Be a Bigger Problem than the Fed Thinks It Is
A hodge-podge of government reports released Friday has rekindled debate amongst economists over a question central to the future of the U.S. economic recovery: Is inflation slowly on the rise, or is deflation about to sink prices and future growth?
The consumer price index (CPI) rose for the first time in four months in July, signaling higher prices in some sectors and easing concerns that a slowdown would sink the U.S. economy into deflation. Meanwhile, the government released a string of weak economic reports that point to slower economic growth.
The consumer price gauge increased 0.3%, the most in a year, outpacing the 0.2% gain projected by the median forecast of economists surveyed by Bloomberg News, figures from the Labor Department showed Friday. The so-called core rate favored by government economists, which excludes volatile food and fuel costs, met expectations, increasing 0.1%.
The consumer price index (CPI) rose for the first time in four months in July, signaling higher prices in some sectors and easing concerns that a slowdown would sink the U.S. economy into deflation. Meanwhile, the government released a string of weak economic reports that point to slower economic growth.
The consumer price gauge increased 0.3%, the most in a year, outpacing the 0.2% gain projected by the median forecast of economists surveyed by Bloomberg News, figures from the Labor Department showed Friday. The so-called core rate favored by government economists, which excludes volatile food and fuel costs, met expectations, increasing 0.1%.
These Five Inflation Plays Will Provide Protection and Profits
Inflation hawks have been warning since 2008 that the spurt of U.S. money creation that began at the end of that year would spark a surge in consumer-price inflation.
And yet the consumer price index (CPI) statistics remain quiet - not giving ammunition to the deflationary camp, but making "inflationists" look silly, as well. Now, however, it is becoming obvious that inflation will soon arrive. But this time it is sneaking in through the back door - courtesy of our emerging-market trading partners.
Fortunately, there are some very clear steps that investors can take to protect themselves from this expected inflationary surge.
And yet the consumer price index (CPI) statistics remain quiet - not giving ammunition to the deflationary camp, but making "inflationists" look silly, as well. Now, however, it is becoming obvious that inflation will soon arrive. But this time it is sneaking in through the back door - courtesy of our emerging-market trading partners.
Fortunately, there are some very clear steps that investors can take to protect themselves from this expected inflationary surge.
Gold Prices Soar to 18-Month High on Dollar Weakness, Inflation Fears
Gold bugs pushed the gold prices to an18-month high today (Wednesday), as rattled investors focused on renewed weakness in the U.S. dollar and the looming potential for runaway inflation. Those factors combined to push gold as high as $1,023.30 an ounce, the loftiest level since late March 2008. The case for inflation was bolstered by […]