Summers End Turning Point 2022
Firstly summers end is always a turning point. You might remember this one for a long time. Details in Summers-End-Turning-Point-2022-Bob Davis Podcast 1068.
However one of the chief mistakes of many analysts is their penchant for attaching economic problems to current political leaders.
Inflation Years In The Making
Major Slow Down Ahead?
Feeling The Pinch
The Cause? Not What You Think
While much has been made of the war in Ukraine or supply issues these are not the root cause of the inflation in the United States.
Gas and Food For Nomads
Above all we nomads feel the pain when it comes to gas and food prices.
Everything For everyone Else
And for the people in the and of bricks and sticks it’s just about everything else.
In Summers-End-Turning-Point-2022-Bob Davis Podcast 1068 I argue that the inflation we’re dealing with has been caused by years of near zero interest rates and something called quantitative easing.
Don’t Bet On A Pivot
95 Billion Every Month Bought For Years
To clarify Quantitative Easing has taken the form of the central bank buying 95 billion dollars worth of bonds EVERY MONTH.
Now Selling 95 Billion Every Month
More importantly Quantitative Tightening is the central bank selling off 95 billion dollars worth of bonds EVERY MONTH.
That’s a lot of liquidity sucked out of the banking system.
Therefore listeners can see why I say Summers End is a Turning Point.
Meanwhile I emphasize EVERY MONTH here because I did not in Summers-End-Turning-Point-2022-Bob Davis Podcast 1068.