Supercore CPI YoY 3.21% but FOMC Will Still Cut Rates Next Month

So SPI came in at 0.2% with the YoY at 2.7%, a number the FOMC will totally disregard and even with Supercore YoY sitting at 3.21%, this will be of no concern for the FOMC going into next months meeting!

Source: ZeroHedge

We believe the FOMC will cut 25bp at their next meeting on September 17th. Now if Non-Farm Payrolls next month fall and print a negative number, well we will then up that rate cut expectation to a 50bp variety!

We keep seeing the novices and academics continue to believe inflation is the problem, well lets just say the amount of net risk free money the US Govt has to dish out to the bond holders of their debt, is HIGHLY INFLATIONARY. What won’t be inflationary is cutting off that free money spigot and lowering rates. Ultimately the real problem is embedded in the FOMC balance sheet growth and that sits at 9.8% annualized for the last 3 decades!

That is the main source of inflation, yes TARP didn’t help, Covid Stimulus didn’t help and now all that monetarist alchemy is deeply entrenched in the top 5% coffers and there is nothing going to stop them for overbidding prime Real Estate, over bidding tech titan stocks and for all intents and purposes, the regular economy does not apply to that group.

So stop the false pretenses upon thinking higher rates stops inflation, that is a boomer economic principle, those days are over. We live in an Ai controlled construct now by which the only algorithm required is to those that have everything, everything will be given and to those that have nothing everything will be taken away!

Yes this is our new reality and it doesn’t change unless the monetary system changes, and our guess is we will be long dead before that transpires. In fact you can see from the onslaught of assaults attacking Monero XMR as a testament of how any real form of “money” will be consistently attacked and preferred to be destroyed. However even with the recent attempt to perform a 51% takeover, Qubic will ultimately just make Monero that much stronger but us Monero Maxis welcome such free publicity and network veracity tests…

For all those looking for Monero’s demise, especially the US Treasury and Federal Reserve, know that despite all the delistings, all the attempts to control the narrative, Monero is still up more than Bitcoin for year!

The QQQ ETF almost reached our weekly resistance today at 581 on the highs but fell a bit short, but still an amazing feat thus far, will the week close out above the triangle wedge and confirm last weeks breakout, above 569 and it will accomplish that:

Guys if you missed our “Champagne Problems” post this week, please do yourself a favor and go read and share it!

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