Has this cokehead ever been pessimistic on the economy?
Good for him. I’m going to take another look on the last day of the year and will likely move everything to the general fund. Last time I researched it looked like the dead cat was going to apex at the end of the year.
Are they anticipating real growth or inflation/hyperinflation?
Listening to Brinker last Saturday I was wondering if Kudlow was the unnamed pundit he was mocking.
Larry Kudlow is a globalist - supports illegal aliens.
Look again Larry...
ping for later.
KarInOhio has the right question. Mr. Kudlow’s interpretation of the yield curve is unsound. If the market expects higher inflation in the future, future rates will be higher because of it. So when the yield curve is steeply-sloped it means that either the market expects higher growth in the future, or it expects greater inflation, or both.
The same applies to the run-up of stock prices. The stock market is a good predictor of the near economic future. It reliably rises when it sees something coming which will be good for the economy, and falls when it sees something harmful coming—except in the area of inflation. When the market anticipates inflation, stocks go up, in expectation of higher asset prices. Whe the market expects inflation to drop, stocks go down, expecting lower asset prices. So in the are of inflation, the market rises on bad news, and drops on good news.
My guess is that both the stock run-up, and the yield curve, are due to inflationary expectations, rather than any expectation that the economy will recover. The government is spending about twice as much money as it’s taking in, and some of the debt is being monitarized. On the other hand, Congress isn’t done hurting the economy yet. Health Care “Reform” looks likely, and Cap-and-Trade is still a threat. “Stimulus” projects, to pull resources away from individual people, and take them for government purposes, are ongoing, and may increase. Tax increases are still planned (in addition to those in “reforms”). The government is definately pushing for higher inflation, and a weaker economy.
bump
Yield curve is pretty steep!
Well...maybe Palin can walk on water.
I think the GOP, and the conservatives are in for a long dry spell. hope we all have plenty of lube.