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To: ChicagoConservative27

There’s an analysis/economist named Luke Gromen - he has calculated that a Fed.gov deficit of at least $2.5 TRILLION is unavoidable next year.

A large part of short-term government debt will need to be re-priced at higher interest rates

Automatic escalators in benefits like Soc. Sec. will add $ hundreds of billions more

Also, with a bad stock market and looming recession, Gov’t tax revenues will fall like a rock.

Finally, China and Saudi are dumping US debt.

As such, the Federal Reserve will be forced to pivot, and pivot hard, in early 2023.


5 posted on 12/16/2022 7:53:01 AM PST by PGR88
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To: PGR88

Excellent post.

Corporate earnings will be falling next year.

Liquidity will become problematic.

And stocks are still overvalued.

Its going to get real in 2023.


26 posted on 12/16/2022 9:11:38 AM PST by Starboard
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