Stagflation watch
By John Schroy, on March 20th, 2010 | 
The lack of fiscal restraint of President Obama on the healthcare issue, the ’stimulus bill’, and other ‘progressive’ legislation in the pipeline, combined with the jobs-firsts-inflation-last attitude of Fed Chairman Bernanke — leave little room to doubt that sooner or later the United States is likely to enter the realm of double-digit inflation.
Inflation is likely be the final and deadliest blow to the retirement dreams of many Baby Boomers. When the stock market crashes, one can hope for a recovery some day. With inflation, the losses are permanent and final.
The coming storm:
By John Schroy, on February 20th, 2010 | 
In 35 of the last 50 years, gold prices have fallen relative to inflation. On four occasions, gold has fallen 50% or more. Gold does not track inflation, but rather anticipation of hyper-inflation or war.
In 2010, gold prices were soaring, reflecting fear of inflation from fiscal excesses of the Obama administration and continuation of war in Iraq and Afghanistan. If Obama is a one-termer, gold prices could fall.
Storm coming:
By John Schroy, on August 13th, 2009 | 
When the government spends much more than it takes in, inflation results. The Obama administration is spending a lot more that it should.
In fact, Congressional authorization for deficit spending is now at historic levels. Will Americans paper their walls with dollar bills when inflation hits?
So far, most Congressional authorizations have not been disbursed. But as spending budgets are executed, inflation should kick in.
Topics: 
Popular Articles