Inflation’s Collapse

[errolanderson]

Recession is written all over these markets . . . .

[errolanderson]

Investors are now racing into the U.S. dollar as a safe-haven investment.

Gold prices have firmed this past month, but remain vulnerable to sudden, harsh sell-offs. The same can be said for cryptos.

Gold has proven it can’t hold any rallies very long. Maybe gold may take a run at $2,000, but $1,800 may be in-the-gunsight once again.

When push comes to shove, investors still tend to flock toward the USD in times of global uncertainty.

[furrowtickler]

[errolanderson]

In my view, economies now entering a fast-moving stagflation period, then there is risk of a deflationary depression. History repeats itself . . . .

[Rareearth]

So Govt wants to raise interest rates , isnt this counter to what your thinking?

Will interest rates go negative?

[errolanderson]

So Govt wants to raise interest rates , isnt this counter to what your thinking?

Will interest rates go negative?

Central bankers are lost. There is no more manipulation that can resuscitate the economy. And then U.S. bankers now suggesting 7 to 11 rate hikes over the next year. And $185 oil price projections. Which economic school taught this math?

Interest rates hike em, drop ‘em, doesn’t much matter anymore. Apologies for being so cynical . . . .

[sumdumguy]

Gold $1972.90 at close March 4, 2022. Yep, looks like deflation to me. Hmmm

[errolanderson]

Oil price shock will fast-track the incoming global recession. U.S. Fed hinting this week rate, hikes may be pushed off. We’ll see, mid-March announcement.

To me, 100 percent probability of recession (it’s just the degree-of-severity now and what markets call the setback).

Can central banks catch up to-the-times quick enough. Do they have an impact anyway?

My opinion, not shared by many.

[errolanderson]

U.S. mortgage rates actually dropped this week.

A drop in the U.S. 10-year treasuries to a 6-week low is said to be the reason. 30 year mortgage rates dropped from 4.19 to 3.9 percent this past week.

Russia conflict and uncertainty is likely the real reason . . . .

[TASFarms]

Watched a Russian drive to 3 different gasoline stations in Russia. He figured around $.50/liter US for gas. 92 octane.
North America is getting to be a sad place for taxes.
Will Sask party drop pst seeing how commodities are crazy high? Or just keep putting screws to tax payers.

[shtferbrains]

Hyperinflation of commodities without a doubt.
But how can it not end in recession?

How can they continue with the great green reset with the the commodities hyperinflated and susidies required to make it float?
Surely the run up in inflation will eventually kill the rapid expansion in the money supply? Why print more if it buys less?

[jamesb]

Interesting thread. For myself unless i am not getting it, I see very high inflation in so many things. I know of a few guys that refuse to lock in inputs for this spring as they feel they are too high and will drop. We will see. Glyphosate bought a year ago cost me $5532 for a 1000 Litre tote. The same tote today costs $14298. As a recreational hunter and shooter, anything firearm, ammo or reloading related has been on a huge increase. We all know about land, food and fuel cost increases. Maybe we will see deflation on stuff people realize they don't need in today's worlds. I see farmers going to auctions and paying unheard of prices for 30- and 40-year-old tractors because they don't want to pay the price on newer iron. It is sad that we don't have national leadership that could see that we should be see that we should be set up to service the world appetite that is high for so much of we produce whether it be from agriculture, oil, gas, mining or forestry. I see the markets today are thinking about the prospect of the Ukraine not getting a crop in. Would you plant if you thought Ivan might seize what you grew for war reparations like they did in WW2? I think this Ukraine thing just threw the S/U ratios out the window for another year at least. As a simple farmers just growing crops for people to buy I feel this could be the worst of times or the best of times for the next year.