Posted on 12/30/2021 8:47:47 AM PST by Browns Ultra Fan
It has been almost a year since Joe Biden has been President of the United States and a Democrat majority took control of The House and Senate. And what has happened to the US Treasury yield curve slope over the past year?
The yield curve is back where it started. There was the “honeymoon effect” where the curve slope rose. After all, Biden was Obama’s Vice President for 8 years and The Democrats has promised so much in the 2020 election. But by early April, the reality of the massive Federal spending (combined with Fed Stimulypto) began showing was feared: inflation (blue line) started to grow at a rapid rate of speed. With inflation now at 6.8% YoY,
Under Biden, The Fed Funds Target Rate remains at 0.25% and The Fed’s Balance sheet has grown to $8.79 Trillion (bigger than the entire economies of Japan and Germany put together!).
How about housing? Home prices are growing at 19% YoY while rents are growing at 12.65% YoY.
Energy prices have risen dramatically under Biden. Gasoline is up 46% despite a slight reprieve recently. WTI crude prices are up 64%.
How about food? Beef prices are up 20% and chicken prices are up 10%.
On a positive note, the S&P 500 index has soared … thanks has soared during Biden’s term thanks to Fed stimulus and Federal spending on COVID.
The Build Back Better Act if passed (in its entirety or on a piecemeal basis) will lead to even MORE inflation.
(Excerpt) Read more at confoundedinterest.net ...
We’re already in a high inflationary up-tick. It’ll get even worse if Build Back Broke passes.
Watch out for inflation if any of the Build Back Better Act passes.
No, Hyperinflation
I agree, it will be hyper-inflation for years.
It will collapse the currency.
Perhaps that is really the plan.
Joe’s Build Back Boondoggle will croak the US economy and the rest of the world will not be far behind
“What’s good for America is good for the world... what’s bad for America is horrible for the world” W. Churchill
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