Private Profits, Public Risk

Last week’s shut down of Silicon Valley bank ushered in the start of the next global financial contagion.

That means easy money and profits for banks from perpetual quantitative easing is back on the table. At least once the government is done using public money to bail them out again.

This is the setup for the hyperinflationary crack up boom – skyrocketing stock prices alongside skyrocketing inflation – I’ve viewed as inevitable ever since the Federal Reserve abandoned any and all constraints on money supply back in 2008.

But markets aren’t quite ready for that yet.

First, fear of failure needs to get flushed out of the system. And interest rates are far better at showing you what markets fear than stocks could ever be.

I put together this slide deck to help you see what rates are telling us right now about liquidity risk, default risk, inflation risk, and growth.

And I walk you through them in this video.

Take What the Market Gives You