Posted on 04/04/2023 7:37:51 AM PDT by Kaiser8408a
Talk about an economy that seems dependent on Federal government money printing. The US economy seems hopelessly addicted to gov money printing.
Today, US job openings fell in February to 9,931k. While that is still a large number, look at the chart of job openings and M2 Money printing. There is a one year lag between maximum printing and job openings. But M2 Money growth has collapsed.
Doctor, doctor (Yellen), no pill from The Fed is going to cure the problem of reliance on money printing.
The Fed has printed like a deranged predator since 2008, yet housing inventory for sale keeps plunging.
Money printing is simply irresistable to The Fed. Hence, The Fed will start cutting rates … again.
(Excerpt) Read more at confoundedinterest.net ...
That is until the 1% money becomes 6% money. Then the facts come to the surface. 401K money from brokerage firms is like welfare for stock values. Fund managers biggest worry keeping them up at night is where to invest it all every month.
OPEC production cuts and the related spike in oil prices will push inflation higher. But higher energy costs also tend to stiffle economic growth by making some businesses unprofitable. The energy price inflation will move through the economy quickly. The suppression of economic activity due to high energy prices/inflation will lag behind. My guess is that the articles’ prediction of Fed interest rate cuts in the immediate future is obsolete, though cuts might be necessary occur the secondary crash.
Win the Internet today … what’s the largest economic variable that remains unchanged?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.