Posted on 01/16/2024 10:22:15 AM PST by Kaiser8408a
Biden and Congress continue their massive spending spree, mostly on themselves and their donors, creating a massive Debt Star capable of unfathomable economic destruction. This will require massive money printing to fund the US Debt Star.
But as of today, M2 Money growth is negative as is bank credit growth.
But all this is about to change.
The U.S. federal government published a December deficit of $129 billion, up 52% from the previous year. The private sector recession is clear as expenses continue to rise while tax receipts decline. If we look at the period between October and December 2023, the deficit ballooned to a staggering $510 billion.
You may remember that the Biden administration expected a significant deficit reduction from its tax increases and the expected benefits of its Inflation Reduction Act.
The United States annual CPI (+3.4%) came above estimates, proving that the recent bounce in money supply and rising deficit spending continue to erode the purchasing power of the currency and that the base effect generated too much optimism in the past two prints. Most prices rose in December, and only four items fell. In fact, despite a large decline in energy prices, annual services (+5.3%), shelter (+6.2%), and transportation services (+9.7%) continue to show the extent of the inflation problem.
Yes, the US has $34 trillion in national debt and $212 trillion in promises made to keep the 99% quiet while the 1% gut the economy for their own wealth. Think Biden, Clintons, and various Congress Critters who suddenly become millionaires.
The Debt Star was born under Obama and weaponized under Biden/Pelosi/Schumer.
Yes, national debt rose under Trump too. Bear in mind that spending originates in The House and Trump was saddled with warhawks like RINO Paul Ryan and insider trading expert and warhawk Nancy Pelosi.
(Excerpt) Read more at confoundedinterest.net ...
Only they’re not printing money - M2 is down about $1.2 trillion from the peak in 2022, and the Fed is continuing to shrink the money supply at the rate of $750 billion a month.
And a $1 trillion annual deficit that may be pushing $2 trillion in the near future. What a CF.
Maybe it’s time to buy more silver.
“Money Printing” is actually somewhat of a misnomer. The majority of money issued by the Treasury Dept. is digital. It’s sent from servers at the Treasury Dept. to servers at banks.
Get on with your life, opportunities are everywhere right now.
I was at Dallas Fort Worth airport last week. The entire airport is cashless. Since it was business travel I use AMEX for everything.
I ate at a tgi Friday restaurant that expected me to self checkout with their app.
I should have whipped out some cash and told them I lost my credit card.
I did send an email that I won’t be returning. Since the waitress didn’t have to provide as much service I also told them my tip was lower.
“Maybe it’s time to buy more silver.”
In addition to acquiring silver and gold, I am also investing in land and various equipment. These tools can be utilized to create products that can be exchanged in trade. Silver and Gold does not taste good.
I agree with you.
"The NY Empire State Manufacturing Index plunged to -43.7 in January 2024, the lowest reading since May 2020, signalling a sharp drop in manufacturing activity in the NY state. It compares with a reading of -14.5 in December and forecasts of -5. New orders (-49.4 vs -11.3) and shipments (-31.3 vs -6.4) also posted sharp declines and unfilled orders continued to shrink significantly (-24.2 vs -24). Also, delivery times shortened (-8.4 vs -15.6) and inventories edged lower (-7.4 vs -5.2). Employment (-6.9 vs -8.4) and the average workweek (--6.1 vs -2.4) declined modestly. Meanwhile, the pace of input price increases picked up somewhat (23.2 vs 16.7), while the pace of selling price increases was little changed (9.5 vs 11.5). Finally, optimism remained subdued although firms expect conditions to improve over the next six months (18.8 vs 12.1). The capital spending index increased ten points to 13.7, pointing to some improvement in investment plans. source: Federal Reserve Bank of New York"
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