Craig Hemke – Seeing Through The Fed Messaging and Illusions To The Actual Financial Reality
Craig Hemke, Editor of TF Metals Report joins us to discuss the dichotomy between how the Fed and main stream financial media are presenting the health of the economy, versus the actual macro data we see coming in. We start off looking at the recent market optimism based on messaging that inflation is coming down and we aren’t in a recession due to the recent strong jobs report, but upon peeling back more layers of the economic onion, we point to many other data points suggesting we are in an economic contraction already.
Next we pivot over to how the HFT algos trade down gold based on the so-called strong US dollar, but then point out it is still being eroded by 8.5% inflation, and is only strong in relation to other more troubled fiat currencies being debased even faster. We discuss how gold is near or at highs in most other currencies, and that ultimately it will rise in dollar terms off the back of the inevitable Powell Pivot 2.0. We wrap up looking forward to the Fed’s Jackson Hole symposium next Friday, and other economic data points on the horizon in the weeks and months to come.