Click here: The Weekly Beacon – July 5 2022
We will be giving some macroeconomic market updates on a weekly basis. No
recommendations will be given in this commentary and we encourage you to contact us
today if you have any questions regarding any observations.
Feel free to send in your pictures of lighthouses to be featured in our weekly commentary.
This weeks issue: Inflation, Government Spending, Stimulus, Price Increases, California Inflation, Gavin Newsom, Climate Failures, Energy Prices, Bitcoin, El Salvador, IMF, Retail Traders, U.S. SPR Running Dry, Oil Reserves, Oil Prices, Russian Friends, China, India, Germany, West vs. East, Global Exports, Mineral Fuels, Household Disposable Income, 7/11, Solar Energy, Savings from Consumers, Debt, 60/40 Portfolios, Worst Year Ever, Gas Tax Relief, Canadian Housing Bubble?, Renewables, Morgan Stanley, Goldman Sachs, Ponzi Stocks, CarLotz, UpStart.
We hope our readers enjoyed their Candian and American Independence Days.
Fighting Inflation with Stupidity
A few governments across the west have adopted a horrible policy that has failed across the 3rd world throughout history—combatting inflation with more spending and money creation. It is the opposite of helpful and history tells us, stupid. Both Trudeau Liberals and the NDP have suggested cheques to Canadians who are dealing with rising costs. These cheques will help Canadians compensate for lost wage value in today’s economy.
This week, California took the cake for the dumbest government. Almost half their population will receive $1,050 to combat surging food, fuel, rent, and other necessities prices. It’s stimulus cheques without a pandemic, economic relief when unemployment is not an issue, this is a problem that will only make things worse.
Remind us to come back to this is October or November and look at rent prices in California or even local food prices, we bet they will surge at a faster rate than the rest of the U.S.
There is a reason California is home to the highest gas prices in the U.S. and it’s not because of the heat.
Stupid policy always ends this way. Solar and wind energy will not solve anything, we would argue they cause more issues than have solutions in current forms.
