THE NIGHTMARES RUNNING THE JOINT!

On a side note, to show you how crippled the most important money people in the world are in one big paragraph.:

Late Monday, Janet Yellen stated interest rates would have to move higher if inflation shows up. On just that, the NASDAQ drops 400 points. Before the end of the day, she rolls the whole thing back saying she doesnt see inflation as a problem thus not worried about rates. So what time do you think Powell called her yelling and screaming that the NASDAQ was down a whopping 2.5%? Keep in mind, since Christmas eve of 2018, we have highlighted for you how Powell has amped up the “easy” on every drop in the market culminating with “it’s not QE” in early October 2019 while GDP was in the mid 2s and unemployment was in the 3s. Just remember, they tell us they have tools to fight anything that occurs yet no one asks them: “what tools do you have?” Their only tools they have had are 0% rates and the printing of trillions while convincing the ECB and other lemmings to do the same. We have seen bubbles all over the place with most of the bubbles popping in SPACs, no sales junk, penny stocks, solars, solar cells, electric vehicles, ridiculously priced IPOs, some having no sales and all that crap. We have seen thousands of names drop up to 100% (Luckin Coffee was a fraud) and we are now seeing a bunch of fraud in the SPACs. Yet, this morning we read that another stand-up comedian, NY Fed President John Williams, says he doesn’t see signs that the central bank’s aggressive bond buying is creating financial-sector imbalances that would argue in favor of dialing back this form of economic stimulus. No imbalances? Margin (leverage) has had a moon shot the past few months, a gargantuan moonshot of leverage. Coins? We will let that one sit. Rates? Aunt Mary and Uncle Bob cannot get a dime off their savings. Junk bonds? Yields are at their lowest ever with the amount of debt at their highest ever. We are seeing bonds that should be yielding 9% that are yielding 4%. We see bonds that should be yielding 5% that are yielding 1%. We can show you charts of hundreds, if not thousands of spec names that have charts that look like the Eiffel Tower. No imbalances? Because of massive leverage on the short side, we got Gamestop and a few others with most now down 80%+ from their highs. Because of massive leverage, we just had a huge hedge fund blow up. No imbalances? Who do you think has enabled all this massive leverage and distortions? The people running the show. So Yellen and Powell blink on rhetoric on a down day. Waaaah! And let us not forget, since this grand experiment started with the original Mr. Bubble Bernanke (some say it was Greenspan but compared to Bernanke was a piker), OUR DEBT IS UP ALMOST $20 TRILLION. Yes…$20 trillion just since 08. But don’t worry, the con artists in DC now say the debt is fine and manageable. Senator Schatz from Hawaii actually had the nerve to say that if they cannot raise taxes and take $6 trillion out of the private economy (that will work), we should just go a few $trillion more into debt. Sure…what’s a few trillion more? Lastly, these easy money dolts keep telling us not to worry about inflation. Of course! Take out gas, medical, electricity, food, education, housing, anything with steel, copper, aluminum, wood…even chlorine for your pool is skyrocketing. Take all that out and sure, there is no inflation. Of course, if you have your butler buy everything and your chauffeur gas up your Bentley, you never see any of this. Inflation will be fine. They have tools. We repeat, we have never been more optimistic on the people and business of this country. Their hard work, their smarts, their striving for upward mobility, their inventions, their creations, their productivity, the medical advancements, the technological advancements and so on. The problem is that we have never been more pessimistic on those that are running the joint and we are talking all sides and in every corner. The mirage continues. We get closer! Remember this paragraph! The debt and leverage are exploding and now the dude running the joint wants to cripple what has been great about this country, the opportunity for upward mobility.

Serenity now!