Posted on 02/09/2022 2:00:20 PM PST by blam
Economist John Williams says the economy is in deep trouble, and the Fed knows it.
Williams says the Fed talking up “robust economic growth” that is causing inflation is “nonsense.” Williams explains,
“The one thing that is not causing inflation is ‘robust economic growth.’ So, when they talk about raising interest rates to kill this robust economic growth that’s triggering the inflation, that’s absurd, and the Fed knows it…
If the Fed foolishly raised rates as reflected in the payrolls as not being fully recovered, you are going to have a sharp downturn, a double dip depression here. At the same time, you are still going to have the inflation. You are going to end up with an inflationary depression or a hyper-inflationary Great Depression.”
According to Williams’ forecast, “In terms of a crash, I am looking for much higher inflation, maybe hyperinflation, and I am looking for the economy to crash. You can address the inflation by personally holding physical gold and silver.”
So, jobs are going to disappear? Williams says,
“They already have, but hopefully all the effects of the pandemic will disappear, and people will get back to work, but that is not happening now. There is no sign of it getting better. In fact, the numbers are indicating it’s getting worse…
The holiday retail economy in November and December declined at the worst pace since the Great Recession. You had a negative holiday shopping season. That’s not a booming economy.”
On top of that, Williams says the real inflation rate is 14.8 %, if you disregard all the gimmicks the government uses to make inflation look less than what it really is. Williams says,
“That’s the highest inflation rate since the Truman Administration.”
In short, Williams points out, “The Fed has to keep the system liquid…”
” So, the money is going to continue to flow, and they cannot afford to raise interest rates. If the Fed raises interest rates, it’s going to crash the economy from where it is now, and the economy is not healthy.”
Williams says buy physical gold and silver and hold it against the inflation that is here to stay and will get worse.
Join Greg Hunter of USAWatchdog.com as he goes One-on-One with John Williams, founder of ShadowStats.com, as he explains how bad the economy really is. (2.8.22)
(Go to the site to see the video)
The horse of inflation is out of the barn. Fed Chairman Martin (1967)
“Notice how you keep missing my investments in real estate and properties.......”
My bad, assumed you knew what a REIT is.
Real Estate Investment Trust.
I dont need no trust to make money, loads of money from property handling them, buying, selling or renting such myself personally
“I dont need no trust to make money, loads of money from property handling them, buying, selling or renting such myself personally”
But I got those returns with no effort while holding down my day job.
No worries about renters skipping out or trashing house.
No calls on Sunday nights complaining about water leaking from ceiling.
.
.
.
I’ve yet to meet a person who has retired in wealth from investing in gold or silver.
But then I’ve never known a large gold or silver miner or a gold/silver dealer. They would be likely candidates.
Gold and silver made their last inflation-adjusted highs in the same year. 1980. So I guess they are due. It looks like one has to be a good trader to make out in those markets.
I took the easy way out. Real estate, retired at 60.
Sounds like a scam. "I'll take the government number and add X". X subject to change at any time, for no reason at all (except to sell subscriptions).
“X subject to change at any time, for no reason at all...”
Ah, the “New Woke Math.”
It's worth it because methods 'n stuff.
The US had similar inflation because of Jimmy Carter. When Reagan took over, the fed hiked rates and killed the inflation. I prefer the lessons of history, not some egghead making a WAG.
I live in NH. I went shopping last Wednesday and I bought eggs at $2,19 dz,butter was $2.50, and cottage cheese was $2.49. large container. This week eggs $2.99, butter $3.00 and cottage cheese $2.79. The store was packed and while waiting for a stock boy to finish his stacking I remarked on the prices going up so fast and he turned around and looked me straight in the eye and said, “It’s like this everyday. We can’t keep up with the price changes so we take a black marker and cross them out for new prices.”And sure enough, that tag below the can section had a mark through the old price and a hand written number in its place. Geesh. Can’t take much more of this.
>>Does he think we can keep interest rates super low forever and not have any consequences? Isn’t that the problem?<<
Monumental federal fiscal mismanagement.
>>May I suggest investing in copper clad lead of the JHP variety instead ?<<
All of the above.
>>Gold declines with rising interest rates.<<
What if the dollar loses it’s reserve currency status?
If the greenback is devalued, gold will hold it’s value. Not as an investment, but as a currency.
There will always be greedy individuals willing to sell goods for silver and gold. Precious metals have been currency since beginning of time.
Hyperinflation? Sounds like they need to raise rates. So why is a rate hike foolish?
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