More coming for subscribers to our Peoplenomics.com site tomorrow. But if you want to “sense future” a bit, roll with this CNBC video via MSN which look at what roaring commodity prices may bring.
A bit of strategy discussion tomorrow.
Meanwhile, though, the Biden stock market is the strongest opening role since Dwight Eisenhower took the oval. But, as the Fed meetings on rates get underway, no question that the Fed is unlikely to move – yet.
As we have explained many times: The Fed is guided by inflation less food and energy increases. But from a home-budgeting perspective Food and Energy are very real expenses. As always, a little truth on each side, but no consensus.
Speaking of Census
New data has been turned over to the White House from the 2020 Census and it shows we have a bit more than 331-million residents. A few highlights:
- The most populous state was California (39,538,223); the least populous was Wyoming (576,851).
- The state that gained the most numerically since the 2010 Census was Texas (up 3,999,944 to 29,145,505).
- The fastest-growing state since the 2010 Census was Utah (up 18.4% to 3,271,616).
- Puerto Rico’s resident population was 3,285,874, down 11.8% from 3,725,789 in the 2010 Census.
Although we detest the lack of border security, drugs coming in, human-trafficking, taxpayer burdens resulting, not to mention the powerless ness of Kamala Harris to resolve anything, it’s still a fundamental economic ploy – same as used by the European Union: Bring in boatloads of people and sooner, or later, it will cause economic growth.
Joe – the Tax Bagman
While the Fed’s money sloshing into markets has resulted in stocks being about 32% overpriced on a “sound money basis” the downside of the Fed’s wanton money festival is running up the National Debt.
Which at last count was $28.134-trillion.
Where national bankruptcy becomes apparent is when you look at the U.S. GDP – the value of all goods and services the country is making right now.
The latest quarterly reading was $21.494 trillion. Meaning America is running “upside down” to the tune of 30.9%. Which – you’ll notice – is about where our estimate of the stock market’s over-valuation sits.
Given that we are just now coming back to the same level of GDP that we enjoyed in the fall of 2019, when the Dow Jones was in the 28,000 range and the S&P was around 3,100, we can see how little has changed.
In a half-assed effort to balance things a bit, Biden wants to lay much heavier taxes on people making a million a year (top line) and more. Then turn around and kick $80 billion to IRS to increase audits on the “rich.”
Inflationary Mind **ck
Here’s what’s really going on – in a nutshell:
Suppose you went to the store a year ago and bought $100 worth of goods? Remember that: Roll through in your mind what that might have been: Couple of steaks, a half-rack of Rolling Rock, a few potatoes. You know: Health food.
Next we wave the Magic Wand of Liquidity: Suddenly, you’re making 10% more money but – and here’s the mental cat & mouse – the cost of the steaks, beer, and taters is now actually up 15%.
Scratching your head? Inflation always hurts.
My buddy Chris Tyreman’s Step-by-Step Millionaire video series will feature details this week on how to really complete the “sausage hiding” we will see packaging games played all over the place.
Can’t speak for you, but remember when a pound of coffee was actually 16-ounces net weight? Nowadays, when you hit a typical online retailer (and schedule curbside) you get crazy weights.
Like “Folgers Classic Roast Ground Coffee, Medium Roast, 11.3-Ounce 3 dollars and 92 cents$3.92 (Unit cost of) 34.7 cents/oz.” Which is 0.3342 liters and 0.70625 of a pound. No logic there.
So, instead, we buy super-gonzo large house brand for 16.2 cents and ounce, all the while wondering how Dunkin’ coffee can command more than 43 cents an ounce. AYFKM?
Kerry: Smear or Traitor?
Put your thinking cap on and take a gander at this Fox story: “Iran’s foreign minister says John Kerry told him about Israeli covert operations in Syria.” Article goes on to say this was Kerry back-stabbing the Trump administration efforts to toughen up with Tehran.
Why are we not surprised?
Still, Iran doesn’t come with “clean hands” making such claims. In fact, since as one commentator puts it “Biden is reading off Obama’s teleprompter” they could just be making an example out of Kerry if they don’t get more pallets of cash from the OBiden administration to fund their terror network.
Thing is, they know a “soft touch” when they see it. And the double-damn is China’s got to be watching, too.
CNBC figures “Some members of the ‘Saturday Night Live’ cast are confused and annoyed to have Elon Musk host show.” OK, we’re confused, too: Shouldn’t he like, you know, be making cars, or something? Or maybe talking to lawyers since Amazon is challenging the NASA contract to SpaceX and Ure’s new SpaceX ground station ain’t here yet… Worse still? WSJ reports Tesla makes more money trading
tulips bitcoin than making cars. Sheesh.
Diversity ain’t selling as the Oscars fell flat in ratings. Still, a gush-on-cue from the NYH Times in Anthony Hopkins’ Oscar Win Ends Night Highlighted by Diversity. Hopkins’ award is way overdue but we knew that without the silly “speeches.”
Privacy matters: NPR’s take on Apple Rolls Out Major New Privacy Protections For iPhones And iPads is worthwhile. How to do the settings from LifeHacker are here.
Speaking of Which: If you use Microsoft Edge and you have third-party cookies turned off. Look again. One of the updates seems to have turned that flag off. (Ure was pissed.) Can’t we trust anyone but Linux, anymore?
Sure as hell can’t trust heavily leftist infiltrated social media. See Fake Chicago Police tweet that purports to state ‘We are all Derek Chauvin’ not being removed by Twitter: CPD for example.
Back with the Case-Shiller Housing report after the top of the hour.
Enjoying a rather quiet and peaceful day so far. Dow Futures up 15 and S&P up 5…the hype never ends, does it?
Will we know more after the central counterfeiter’s meeting this week? Doubtful. Their way-late M1 and M2 dance should come out Thursday on a massively delayed and covered up basis. So inflation can take more people by surprise. Why gold isn’t over $3,000 and silver north of $40 is beyond me. Such is the price of being an economic fundamentalist.
Write when you get rich,