Nat gas didn’t read the memo. Neither did my oil stocks. Is the Gold/Rinf ratio a useful indicator to us energy bugs who believe in a very tight supply constraints driven market by 7 years of underinvestment?
Gary May 25, 2022
Much less so (IMO) than other commodities. Regardless, I think that many different items can get S/T relief if yields & inflation signals back off because the perception would be that the big bad Fed (ha ha ha) will back off.
One look at the CPI tells us that inflation is always in play as its effects have driven costs upward over many decades. It’s the system. It’s an inflationary regime until it ends, IMO, with interim dis or de flationary episodes (pit stops) to refuel the systematic inflation.
Armen May 26, 2022
Sorry, I meant that M2 actually went down – quite a rare event
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Nat gas didn’t read the memo. Neither did my oil stocks. Is the Gold/Rinf ratio a useful indicator to us energy bugs who believe in a very tight supply constraints driven market by 7 years of underinvestment?
Much less so (IMO) than other commodities. Regardless, I think that many different items can get S/T relief if yields & inflation signals back off because the perception would be that the big bad Fed (ha ha ha) will back off.
Some inflation indicators get overlooked because they never go down: https://fred.stlouisfed.org/series/M2SL
One look at the CPI tells us that inflation is always in play as its effects have driven costs upward over many decades. It’s the system. It’s an inflationary regime until it ends, IMO, with interim dis or de flationary episodes (pit stops) to refuel the systematic inflation.
Sorry, I meant that M2 actually went down – quite a rare event