Inflation is About to be Priced In!
The Chinese own a trillion in unsecured liabilities of a bankrupt nation that is now wanting to attack their income, and all they get for this is a measly 2%. It’s no surprise that they have stopped buying U.S. Treasuries and are now making big news with retaliatory tariffs.
Since the 2008 financial crisis, the FED and other central banks have been monetizing our debt, flooding the world with cheap money and negative real interest rates…
They’ve fueled a new housing bubble, pumped the stock market, and have created an artificial boom using unprecedented emergency measures.
Tax cuts in the U.S. will absolutely lead to higher price inflation.
Americans don’t save, they spend, so as paychecks increase, so will consumption.
China’s recent announcement will only pile onto the coming inflation trade. On the list of products that will see a 25% tariff was soybeans. This is going to directly affect livestock prices, as soybeans are processed for their oil and protein for the animal feed industry.
The U.S. and Brazil are responsible for 70% of soybean production and 84% of global exports.
Prices will rise across other producers, as the U.S. is now potentially going to be hit with a 25% tariff from the world’s largest consumer of soybean.
Along with inflation is the ever-growing attack on the dollar from Russia and China.
Will Saudi Arabia choose gold over military protection from the U.S.?
Probably not anytime soon, however, other major oil producers (like Iran and Russia) may be fairly enthusiastic about it, if for no other reason than to show defiance to the U.S. dollar hegemony.
On April 15th, FutureMoneyTrends.com will be releasing the most important report we’ve ever put together, revealing what will soon become the most important stock suggestion in the history of our letter.
Treat this current market turmoil as your friend. This all leads to one of the greatest asset bubbles the world has ever witnessed.
This work is based on SEC filings, current events, interviews, corporate press releases and what we’ve learned as financial journalists. It may contain errors and you shouldn’t make any investment decision based solely on what you read here. It’s your money and your responsibility. The information herein is not intended to be personal legal or investment advice and may not be appropriate or applicable for all readers. If personal advice is needed, the services of a qualified legal, investment or tax professional should be sought.