Republic Risk: Clown Shows and Midstream Stocks
What on earth did I watch last night? Where is real power in Washington? Where do we put our money after Bitcoin goes to $80,000 and NVIDIA to $1,000? Let's explore.
Equity Storm Watch Is GREEN on the S&P 500 and GREEN on the Russell 2000
The U.S. jobs report showed 275,000 new positions in February. However, the official unemployment rate was 3.9%.
Remember Mark Twain? The bit about “lies, damned lies, and statistics?” Well…
Do some math and reach the alarming conclusion that real, on-the-ground unemployment is really north of 10%. But, of course, in the world of policy, “if you’re explaining, you’re losing.” As we know, prices have been increasing by double-digit percentages each year since at least 2017 in major cities.
The establishment’s prescription is simple: Ignore what you see with your own eyes and cheer a stock market that rises at the cost of currency debasement, inflation expectations, and new money printing.
The more important note from that jobs report is that wages increased by just 0.1% over the last month, trailing official inflation. Over the last year, wages increased by 4.3%, which is under expectations of 4.5%.
Markets should …
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