I turned my back on the two-party system long ago.
To me, the worldviews represented by each are as indistinguishable as feedlots in Garden City, KS.
Both lead invariably to only one place…
And the debt ceiling bill getting a vote in the House today only proves I was right to turn my back.
After weeks of tough talk from both sides, absolutely nothing changed.
With the only accomplishment being a claimed 0.10% to 0.20% reduction in spending, the trajectory of debt and deficits will return to the same course next week as it was three months ago.
And the unimpeded federal spending will add more fuel to the Federal Reserve’s inflation fight.
The position the Fed finds itself in was a topic of discussion during today’s “Roundtable.” The path that the U.S. economy (and the rest of the world for that matter) is currently on isn’t recessionary OR inflationary. It’s recessionary AND inflationary.
And while I’m certain they can crush the economy with rate hikes. I’m not nearly as certain inflation will respond they way they hope.
Especially with U.S. government spending back to its old, exponential, trajectory.
To catch that discussion, as well as deeper market insights from my guests Celeste Lindman and Roger Scott, click on the recording below.
And join us every Wednesday, at 11am ET, for “Roundtable with Don Yocham.”
Take What the Markets Give You
