Gyroscopic Investing

Velocity seems to be the missing piece of the puzzle right now for generating inflation. I'm of the opinion that we have massive structural deflationary forces that absent government intervention would send prices sharply lower. It's pretty amazing how given massive deficits, huge bailouts and stimulus, and historically easy monetary conditions we still have failed to create any appreciable inflation in the CPI. Would be interesting to see how we would have fared during the last 15 years under a Ron Paul administration...

One perspective is that we are experiencing serious consumer price inflation. Which I personally feel when I go to the grocery store to pick a few things up and somehow it cost 50 dollars.

http://www.chapwoodindex.org/

Another way to look at inflation is that assets are inflating. A house in the south east that was 150k in 2014 is nearing 400k. Stocks as well. And bonds Yields rise because peoples desire to loan money is lowered when you can inflate it in the stock market.

vincent_c wrote: ↑Wed Mar 10, 2021 11:08 am

ppnewbie wrote: ↑Wed Mar 10, 2021 2:34 am One perspective is that we are experiencing serious consumer price inflation. Which I personally feel when I go to the grocery store to pick a few things up and somehow it cost 50 dollars.

http://www.chapwoodindex.org/

Another way to look at inflation is that assets are inflating. A house in the south east that was 150k in 2014 is nearing 400k. Stocks as well. And bonds Yields rise because peoples desire to loan money is lowered when you can inflate it in the stock market.

The bond market only cares about inflation as defined by the Fed I think.

Until it does not. Then look out.