Post by Randy

In my opinion this is a pavlovian response. Inflation kills the ability to lower rates. One of Bessent's stated goals is to grow the economy. Any FED or Treasury intervention would have to find its way to inflating assets instead of finding its way to the real economy. The shift in global order we are seeing now cost money. I just find this inflation outcome as low probability.

With fiat inflation is always a guarantee, but hyperinflation looks to be where all fiat is headed. Buckle up!

I think most people don't realize that by having a central bank, whatever you have in your bank account is collateral for your government's debt. The central bank's mission is monetary stability, but not monetary stability in your bank account. Monetary stability for the government. Keeping the government liquid. At your cost. It's one big grift to transfer your property into the hands of the big spender.

We are waaaaay past sane government spending, inflation is guaranteed. Inflation - taking away your property - is the only way to keep this show running. You may still see your bank balance go up, but it won't match the loss in purchasing power. And no, for regular people there is almost certainly no way around it. You can and should hedge your investments, and try to lose as little as possible, but there is no way to go through a monetary reset without losing some of your net worth. If you are perceived as having gained unfair advantage through your investment, chances are the state will come and either take, or devalue your property, whatever it is.