No stock picks today. One of the reasons the Federal Reserve lists as an excuse for continuing it’s zero interest policy nine (9) years after the financial crises – is the lack of any inflation.
If you have any children, or are dealing with healthcare issues – or simply trying to pay for college – the simple chart below from the American Enterprise Institute will explain that sick feeling you have in your stomach every day:
The Fed wants everyone to go out and buy a New Car they can’t really afford, or a Big Screen TV with an iPhone controller.
Unfortunately, while the playbook devised by Alan Greenspan – and followed by every Fed Chief since, has lowered the costs for consumer discretionary Items and pumped up asset prices – it has also driven up the costs for items such as Housing, Health Care, Childcare, and College Tuition. Today, many Families must go deeply in debt to stay even or simply go without.
And no, I don’t think Donald Trump is the answer – don’t think there is an answer in this election cycle. Things will have to crash first – which is a depressing thought.
Anyway, on that happy note – I am a single Dad this week end – so I plan on enjoying some ice cold beer, and a lot of Van Morrison:
https://www.youtube.com/watch?v=8vUF6SHuuIw
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