July inflation is red hot, real wages are down, and real yields are more negative than ever, exactly what the Fed wants. The destruction of the American middle class continues.How these policies will pull us out of our economic debacle is mathematically unclear.
The New York Fed proves it (unwittingly): Executives are optimists who invariably, and falsely, assume the future is better than current conditions, though realty is staring them in the face.
And so is obesity. Good food and leisurely meals bien arrosé are considered the glue that keeps families, and French society, together. And yet, chain restaurants have elbowed their way in and now control 20% of the total restaurant market.
$373.6 billion got vacuumed out of the USA in just six months. And was replaced by debt.
The horrific tsunami from the earthquake off the coast of Japan made it all the way across the Pacific to the Antarctica and caused the calving of huge icebergs. The event was captured by satellite images. And refreshingly, for once, no one tried to force-link it to global warming.
All Tax And No Play. But they still can’t balance their budget or bail out Italy.
While we’re having all the fun.
Chinese inflation numbers just came out, and they’re sizzling. But those are the official numbers, and even officials admit that actual inflation is much higher still. Labor costs are spiraling out of control. And it’s all blowing our way. Exactly what we need.
… if you can print money and are in control of the credit markets. Look at Japan. That doesn’t mean the underlying problems don’t matter.
Fannie Mae—you already forgot all about it, didn’t you?—well, it just reared its ugly head again with its Q2 earnings report. Here is the most important number:
$5.1 billion in new bailout money from the U.S. Treasury—the eleventh quarter in a row it has received bailout money. That brings the total bailout money it received so far to $104.8 billion, with no end in sight.
As reported in Le Figaro, the French business daily, and in other foreign media, but curiously not in the major US media, the US Gross National Debt jumped by $238 billion to $14.580 trillion the day after the debt-ceiling deal was signed.