Inflationary storm predicted

An Inflationary Storm is Coming

January 04, 2021

From the desk of Graham SummersPick Up Graham’s Best-Selling Book Which Predicted The Crisis in 2017.Find Out What’s Coming For the Fed and the Markets Here      An Inflationary Storm is Coming… Here’s How to Profit From It!

Get ready for a tsunami of liquidity to hit the financial system in the coming weeks and months.President Trump has already signed a COVID-19 $908 billion stimulus bill that will give $600 to most Americans. The President was adamant that $600 was not enough, demanding that congress pass a second bill that would raise the total amount to $2,000 per person.



The House of Representatives has since passed a bill that would accomplish this. As I write this, Tuesday, the bill has stalled in the Senate. But with the GOP needing to win the two Senate seats in Georgia on January 5th 2021 in order to maintain control of the Senate, I imagine the Senate will pass some version of this bill shortly. Put simply, there’s another $1.3 trillion ($908 billion + $463 billion) in newly printed money flowing into the economy in the next few weeks.Meanwhile, the Fed has just pumped $162 BILLION into the financial system in the last two weeks alone.

GPC14211.png

Let’s provide some historical perspective here.During the apex of its monetary policy response to the Great Financial Crisis of 2008, the Fed was printing $80 billion in new money per month.

It just printed $162 billion in 14 days.

This brings the Fed’s total money printing for 2020 to over $3.2 trillion!!!!!

That’s larger than the UK’s GDP!So this year we’ve seen:
1)    The CARES act: a $2 trillion stimulus program
2)    The new $908 billion stimulus program
3)    soon to be signed $463 billion stimulus program
4)    The Fed print $3.2 trillion

.Add it all up, and you’re talking about $6.45 TRILLION in new money being printed and funneled into the US economy/ financial system in the span of 12 months. That’s roughly 31% of the US’s GDP.

This is going to create an inflationary storm.I’ve written previously about how the Fed’s own research has shown that food inflation is the best predictor of future inflation. Well with that in mind, the 10+ year bear market in agricultural commodities has ended.

GPC14212.png


What you’re looking at is the 10-year bear market in food prices ENDING. This chart is telling us that higher inflation is coming. And coming soon.This is the BIG theme for 2021 no matter what else may come: more money printing, more inflation, and more explosive moves in inflationary assets.Those investors who are well positioned to profit from it could see literal fortunes.With that in mind, I alerted subscribers of my newsletter to several investments designed to explode higher based on the US moving into hot inflation in 2021.Already we’re up 65% on one of them. And by the time the smoke clears, I expect this to be AT LEAST a triple digit winner.
Markets move both Up and Down

Published by technofiend1

Kazan- Kazan National Research Technical University Казанский национальный исследовательский технический университет имени А. Н. Туполева he graduated in Economics in 1982

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