This is indicative of why the DOW at $50,000 is a mirage, as it makes us falsely believe we’re fine if our 401k has grown in stocks, so no matter groceries are thru the roof.
Always keep in mind that the inherent value of one dollar is zero (0). While, the inherent value of one ounce of gold (or silver) is one ounce of gold (or silver).
If you don’t hold it, you don’t own it. All you would have is a derivative of money, with is inherently worthless.
silver/gold = no counterparty risk if you possess it.
Cash is ALL risk if you possess it... fiat is synonymous with risk.
The inflation adjusted value of my assets in 1975 dollars when compared to today are about 17 cents on the dollar. That is false economy for you.
So, in a perfectly obvious but possibly stupid question, are we in for another round of the effects of too much stimulus?
Every time Trump tells the story he uses a different number for the amount of new money that will come into the US for new plant and such this year and what must surely be at least a short period of time afterward. He seems to settle in a range between $10 Trillion and $20 Trillion, last quote I heard him make was $18 Trillion. No matter where in that range the number lies it is a big number. For comparison, AI Date Center spending is expected to be about $500 Billion and is called a transformative investment.
Biden’s various stimuli were “only” on the order of $2 Trillion or so and they gave us between 30 and 50% inflation on some items over four years and sent money supply to new heights never before seen.
I wonder if we should be bracing ourselves for similar delights soon? The difference is this should not be printed money that devalues the dollar but new money pumped in instead. Still, it is a lot of spending and it will stimulate the economy and it will raise the M1 and M2 money supply won’t it?.
Maybe I should ask Grock.