These Four Charts Illustrate American Exceptionalism In 2018
Day after day, analysts warn that the dramatic decoupling of the U.S. economy and U.S. assets from the rest of the world is increasingly unsustainable.
By now, the narrative has been repeated ad nauseam: U.S. fiscal policy has catalyzed a wave of buybacks and bolstered corporate bottom lines while serving to prolong the stateside economic expansion, while the threat of a trade war and the stronger dollar undermine global growth and deep-six emerging markets, respectively.
Last month, JPMorgan'
Betcha anything it will be the latter: US markets will start to turn down when reality sets in that we’re headed for a recession start in mid 2019.
Old debt must be paid off with new money. To dilute old money one must inflate by any means possible. Since the unions and the welfare bums are not fair game anymore, the EM and third world will become the boogeyman for the inflation. QED by the use of an effective Bernays style of PR.
I’m starting to feel a little bit sorry for the Clown-in-Chief – but only a little.
funny how todays CPI print, THE inflation rate, came in cool….and there is 0 discussion. AHE come in ‘hot’ and its the root of all the worlds potential ills. can we now confirm that ‘inflation due to rising wages’ meme is dead?
chinese credit impulse has rolled over, commodities/input costs are going lower….no tarriffs on consumer goods (electronics)….=low inflation. as yeild curve inverts, its better to earn 2.5% risk free, than invest in economic activity that has little pricing power or outright deflation. likely though an autumn reprieve for the $ and global risk assets (‘back to growth’) just as the teeth of QT and yoy comparison come into view for 2019.