Two data points to consider as we sneak up on the weekend.
The usual unemployment filings – improved:
Highlights are the non-seasonally adjusted (no BS actual) numbers.
Screaming And the Producer Prices:
Bad: Over 12% Annualized Rate:
“The Producer Price Index for final demand increased 1.0 percent in July, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices rose 1.0 percent in June and 0.8 percent in May. (See table A.) On an unadjusted basis, the final demand index moved up 7.8 percent for the 12 months ended in July, the largest advance since 12-month data were first calculated in November 2010.
Nearly three-fourths of the July increase in the final demand index can be traced to a 1.1-percent advance in prices for final demand services. The index for final demand goods rose 0.6 percent.
Prices for final demand less foods, energy, and trade services moved up 0.9 percent in July, the largest advance since climbing 1.0 percent in January. For the 12 months ended in July, the index for final demand less foods, energy, and trade services rose 6.1 percent, the largest increase since 12-month data were first calculated in August 2014.”
Markets were about flat after the data. Take a NODOZ.
The only notable data segment left is tomorrow’s Import/Export prices.
You’ll have to excuse our lack of caring: this is all “dollar denominated.” Which leaves the sensible value investor wondering: How much of the change in data is due to foreign exchange effects (dollar write-down on higher (verging on insane) spending our way through a Hindenburg event. Or, how much of the change in data is due to actual unit growth.
The nearest guesses will come from twenty-foot equivalent units of cargo and rail transport carloads on the one hand. And the “hidden homework” of the Fed which deliberately delays and obfuscates the Money Manipulations over here.
As of June, the M2 was up 12.1 percent year on year. While M1 is up 16 percent.
Since the Fed is still pouring $120-billion a month into market, an idiot could take a solid stock. Borrow money at 3% and wait a year for inflation to deliver 12-16%. See how easy financial engineering is, if you know how the fix is in?
Which Also Explains Gold
Except, not really.
See,, last year at this time, gold was running about $1,950. And this morning we’re down around $1,750. Simple enough: Gold has lost about 10% of its market price. Deflation.
Somewhere in economic reality, the Fed is doing “everything right” while at the same time, not recognizing that CV-19 (and the Digital Coup – topic of next week’s Peoplenomics report) are tremendously deflationary. Horribly so.
Imagine how Wrong-Way Joe will feel in a couple of years when the payoff from the bioweapon becomes clear: Falling birth rates and population reduction. What happens to home prices (and other goods) when there’s a shortage of growth (poof!) and the price bidding on goods collapses?
These are not simple matters.
“Spend to the End”
It’s not a particularly rational plan. Spending almost $4-trillion in less than a week is nuts. But, that’s the Razor Wire Witless, for you. Stimulation to pay back pals and infrastructure for the Techs, not the Peeps.
We are witnessing the “industrialization of children.” As summarized on the Pete Peterson Foundation website:
“The American Families Plan would be a significant investment in children, support for families and workers, education, and nutrition assistance. The Administration estimates that the plan would cost $1.7 trillion over 10 years, consisting of $943 billion in spending and $799 billion in tax cuts over the period.”
Of this, $445 billion will go to teachers – long-time allies of the shame-peddlers and sex-checkers. Plus another $500 billion on families, children and nutrition assistance.
Leaves us scratching our heads. Scarcity builds price of kids???
Same thing with other spending plans. Infrastructure. Because while spending is a good thing, it quickly becomes less so when done with borrowed money.
When other countries have gotten behind the economic 8-ball, they have spent upwards of 3% of GDP to stimulate things. China’s an example a few years back. Given the low-BS version of US GDP is about $20-trillion, up to $6 trillion in total stimulus might be considered.
In a way, we’re walking in Chinese ruts here – which is becoming less surprising by the day…
The Digital Coup Moves On
Babel is shaking.
Here’s a hint where the Peoplenomics report for next week is headed.
You see, the Digital Coup is well-underway but not well-controlled. But it progresses, anyway, since most people don’t look at the systemic level of life. Instead, they get wrapped around the wheels of personality, “racism”, and political division. Show you what I mean here:
- Take Larry Elder: Although Black, his rights to “free speech” don’t seem to be as important as others: Will Larry Elder’s talk-radio style sync with recall voters? – The San Diego Union-Trib. “The digital machine” is out to save Newsom, as we figure it.
- Another is Rand Paul: YouTube censors Rand Paul, senator accuses tech giant of becoming ‘arm of the government’ | Just The News.
- Another was DJT – first time I have ever heard of “media” (socialist, but a media mafia with a capitol hill good squad to run shakedowns (*230 exemptions and more, nevertheless) outright censoring a sitting president.
What makes the Digital Coup so interesting is it all controls the narrative on Climate – marginalizing, blocking and suspending those who exercise free speech and ask inconvenient truths.
As well as gender extremism – fostered for God knows why. and a radical racial divide being stoked to resurrect the Civil War for its 150th anniversary.
The biggie, though, is the unconstitutional plans of CDC for camps – which as we explained on PN yesterday – is illegal and there for anyone to read. Again, if you’re on the wrong side, Social will block and punish. Coup’s goon squads.
Down the sides of Babel, something else is going on: Rumble, Parler, and a host of non-corporate special lefties are arising.
Still, we’ll save the deep discussion for next week. We will only say…,no, let’s wait on that. Think about it – many oddities will fall into place.
Oh, Look! More Evidence!
When I was born (1949) the proportion of White people in America was around 85%. Today, White is quickly being shamed for dropping to the 50% level which looms a few years ahead.
Yet, in NONE of the racial re-mix of America has there ever been a “will of the people.” No vote on freezing…just open borders and a leftist plan to important as many people from third world shitholes as possible. Clearly an attempt by the Tech Coup to keep unit labor costs down while exporting manufacturing to least cost egalitarian strongholds like Chinese prison work facilities.
Snag a copy of this story quick – because to even report publicly that Minorities drive population growth in US while number of white people declines for the first time | Daily Mail Online. we’re pretty risks banning for truth leaking. The White hate agenda is obvious as hell, having taken root in programs available only to POCs and the Marxist packed corporate court system unable to enforce “Equal Protection Under the Law.”
You tell me: 60-years of government funded inequality serves whom, exactly?
Here’s one buried by the Tech Mafia’s Propaganda Machinery (social media): It began with White Farmers Sue Biden Administration, Alleging Racial Discrimination In Stimulus Package (forbes.com). More recently, though, here comes the “reverse discrimination is OK” crowd in Black US farmers dismayed as white farmers’ lawsuit halts relief payments – The Guardian.
Last we heard, the reverse discrimination matter was being cast this way: Relief payments to Black farmers on hold amid lawsuits backed by Mark Meadows and Stephen Miller | The Progressive Pulse.
Because ag money is tied to race, we don’t see this as anything less than the local liberal reverse discrimination spin on South Africa’s seizure of White owned property.
Again, we’re so old we remember when equal actually meant equal. Not equal with special privileges and payments.
The White shaming and attacks on meritocracy, rather than genuine equal treatment and rewards for hard work? If you want to fix that, tax the hell out of large inheritances for the ultra rich. Tougher IPO rules.
Who, of course, would never stand for that.
Because bottom line is privilege is based on retained wealth. And working the system. As all Tech Billionaires know all too well.
Our early 2020 Covid predictions are getting back on track: WHO says the world is on track to surpass 300 million Covid cases early next year.
And this ought to tell you something: Study Finds The Most Highly-Educated Americans Are Also The Most Vaccine-Hesitant. Mean like injecting a made-up toxin might NOT be good?
Where’d hyperinflation go? “The Pandemic Recovery Continues To Throw Inflation Models Out The Window”.
While Texas utilities are screwing those of us who make our own power – charging high rates when we buy and offering us half-rates when we sell, California is looking more reasonable: California regulators are voting on solar mandates for new buildings.
Grounds for impeachment, but hiding behind POC is the Marxist way: AOC-backed group honors multiple convicted cop killers.
Time to circle the breakfast table…
Write when you get rich,