Spending won’t really slow down until folks have maxed out their credit cards. It’s going to take a bit for that to happen, but hard times are ahead of us.
I don't know about that. Half the people I know have already maxed out their CC's keeping food on the table and the lights on, or buying crap to mitigate their 'down time' during the pandemic. I agree that "hard times" are coming.
The pos was installed not elected. Otherwise I agree.
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Hard times are here for a lot of people. Much harder times are coming.
The current central bank prime rate is 3.25%. That is still historically low. Wish they would quite pussy-footing around and get it up to a meaningful and effective zone. It's not working because, understandably, they are going so very slowly considering the circumstances. At this rate of increase (.75% at a time) it'll be the middle of next year before it's high enough to have it's intended effect.
This is a historic event. The world went dark for a year. We have been living off of inventory and that’s close to depletion. The rates have increased faster than anytime in history. A tsunami is coming because the rates haven’t had time to impact the economy and when the increase takes hold, it’s going to be a disaster.
Making home made pizza today, took a 4 day weekend, stopped in at wallyworld for some 00 flour and they have turkeys out, $2 a pound.
Never thought I would see $40 and $50 turkeys.
Never thought I would see $40 and $50 turkeys.
Its a no win situation, raise the rate too fast too high and its panic, dont raise is high enough or fast enough its higher inflation by the day.
The other issue going on is the QT. The monetary policy is causing a liquidity shortage around the globe. Banks are running out of cash, with the UK currently trying to mitigate that. Most folks aren’t taking this seriously or don’t really understand the ramifications of what we are going to go through.
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