Can Inflation Erode One’s Savings?

2023-04-25T15:54:26+00:00April 25th, 2023|Categories: INVESTMENT|

Executive Summary When inflation is running below 2% annually, it does not get much attention. However, last year when it hit 9%, it was on everyone’s mind. This issue looks at how inflation impacts the purchasing power of one’s savings. High inflation combined with market cycle downturns [...]

Are Investors Falling Prey to “Short-termism”?

2023-04-18T16:39:39+00:00April 18th, 2023|Categories: INVESTMENT|

Executive Summary Due to technological advances, stock market data and trading are both more available and much faster. This leads investors to think things will immediately improve or anything negative is short-term. Take inflation, which is caused by either rising energy prices flowing through costs of products [...]

Is the Optimism Warranted?

2023-04-11T16:13:21+00:00April 11th, 2023|Categories: INVESTMENT|

Executive Summary Recently stock markets have appeared optimistic, even though financial data does not agree. In the first graph below, one can see banks are tightening lending standards, which is consistent with prior recessions. In a debt driven society, reduced lending results in lower demand and smaller [...]

Featuring Wolf Richter: Services Inflation Rages at Worst Rate since 1984, Keeps “Core PCE” in High Range. Energy & Goods Cool

2023-04-04T16:37:30+00:00April 4th, 2023|Categories: INVESTMENT|

Executive Summary This week I wanted to share a guest article from Wolf Richter. This article reflects on trends that we typically use to measure our economic position - services, goods, energy, or groceries - and how they pertain to consumers, and how their current positions can [...]