The forces of deflation and inflation continue to tug at the economy simultaneously...
Inflation, Deflation, or Both? https://t.co/l89CAAbgWv
— Money Metals Exchange LLC (@MoneyMetals) May 11, 2020
Inflation, Deflation, or Both?
On the deflation side, jobs, industrial demand, and the small business lifeblood of communities are contracting at an unprecedented pace. Meanwhile, trillions in credit card, auto, student loan, and mortgage debt that props up consumer spending and home values is at risk of imploding – and bringing markets down with it.
On the inflation side, the Federal Reserve is pumping more than $6 trillion into the financial system.
Meanwhile, all pretenses of needing to be fiscally responsible are being discarded in Washington as Congress pushes stimulus after stimulus with money it doesn’t technically have.
