The Futility of CPI Watching
This blog looks at the futility of CPI watching. It discusses how waiting for the government to report its watered down historical inflation data to make trade decisions is a losing strategy, and how the government's assessment of future inflation is terrible.
Kevin Bambrough
Retired Investment Professional on the side of truth and fairness. Tweets are just my opinions and not advice or recommendations. Looking for 10x in 10yr stuff
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I enjoy this mocking because I think CPI watching is for fools.
— Kevin Bambrough (@BambroughKevin) April 12, 2023
If you wait for the government to report its watered down historical inflation data to make trade decisions you’ve already lost https://t.co/vMFT7ktYeP -
Many things like CPI are simply go to for weak reporters to write content and try to attract eyes. Let’s all pretend the governments assessment on what inflation was matters. Got news for ya.. the govs assessment of future inflation is terrible
— Kevin Bambrough (@BambroughKevin) April 12, 2023 -
How ridiculous far off was their expectations when they were ALL preaching it was transitory and promising to keep rates low? I’ll tell you. Just as ridiculously far off that they can now keep rates here and also keep banks solvent
— Kevin Bambrough (@BambroughKevin) April 12, 2023 -
The one of the biggest casualties of this commodity bull market will be the complete and total loss of faith in Fedspeak.
— Kevin Bambrough (@BambroughKevin) April 12, 2023
They fomc leaders will be forced to increase liquidity to save banks and let inflation run and they will lie about this over and over again -
They will bail this and bail that. Print a few hundred billion here and guarantee a few hundred billion there. They will also get back to QE in a huge way cause they must make sure that the $2T+ budget deficit is funded with new treasury bill issuance
— Kevin Bambrough (@BambroughKevin) April 12, 2023 -
And we shall have a full blown recession in the USA in the next couple years that will have people forecasting $4T+of deficits. The ponzi economy with ponzi currency. And fyi crypto won’t save up. It’s worse than fiat.. people must earn/acquire fiat to pay taxes.
— Kevin Bambrough (@BambroughKevin) April 12, 2023