A Bidentastic week and Trump's very bad one

[rogue06]

I know where he's getting his (wrong) information. I just don't understand why he feels the need to try and convince us of it. What does he gain by trying to convince US citizens that Joe's disastrous economic policies are actually good?

These are the same sort of policies that he promotes and cannot accept that they lead to ruin when followed.

[rogue06]

LOL.

They were screwed either way. They had this planned for a while now. If they had cancelled the party after the stock market news came out the headlines would be "Biden cancels celebration of "Inflation Reduction Act" after Stock market had it's worse day since 2020"

Pretty much.

The fault lies with the gang that couldn't shoot straight in the White House who thought it would be a good idea to schedule them for the same day -- utterly unconcerned with the optics if the news wasn't good.

Ain't it grand having the "adults" and "professionals" back in charge?

[Ronson]

LOL.

They were screwed either way. They had this planned for a while now. If they had cancelled the party after the stock market news came out the headlines would be "Biden cancels celebration of "Inflation Reduction Act" after Stock market had it's worse day since 2020"

The lesson that should be learned is not to celebrate such nonsense in the first place. Celebrating the passage of the "Inflation Reduction Act" should have been low-key, just with the grifters and elites that profit from it in attendance and without coverage.

[rogue06]

Kudlow on the CPI report and why high inflation is not going anywhere soon (go figure after the stupendous amount of spending the Democrats once again just engaged in):

Source: The highest inflation in 40 years is deeply embedded in the economy and spreading

Today's CPI inflation report shocked Wall Street and the nation with a significantly higher than expected print. Pollyannas everywhere are painfully learning that there's no magic cure. There's no easy way out.

After several years of excessive federal spending, regulating, taxing and money-printing, the highest inflation in 40 years is deeply embedded in the economy and it is spreading. The only significant decline came with gasoline prices.

Overall, the topline CPI came in at 8.3% for the year — food up 11.4%, even energy is still up 24%. Electricity is up 16%; natural gas 33%; new cars 10%. Even with the recent drop, gasoline is still 26% above a year ago. Rent is up 6.5%. Overall, services are up nearly 7%. Core goods prices are up 7%. Used cars are up nearly 8%. The so-called core inflation rate, omitting food and energy, has risen 6.5% annually over just the past three months.

In terms of broader measures, the Cleveland Fed's median CPI increased to 6.7% year-on-year and the 16% trimmed mean, which chops off the highest and lowest 8% of outlier prices, is up 7.2%. The Atlanta Fed's wage tracker is up 6.7%, but real wages had their 17th-straight negative month. In other words, middle-class working folks are getting clobbered, absolutely clobbered. They're working more but buying less.

Around the kitchen table — grocery prices, home heating, air conditioning, electricity, baby formula — all these price hikes are killing the middle class and then we have the unseemly sight of James Taylor serenading the White House in a bizarre celebration of Mr. Biden's "Inflation Reduction Act." You can't make this stuff up.

Meanwhile, the stock market has fallen nearly 1,300 points. The 10-year treasury rate has jumped over 3.4% and the 30-year fixed mortgage rate stands at 6.5%. Those are a full percentage point above where they were a month ago. Those are the facts. What does this all mean?

The Federal Reserve will be much more aggressive in hiking their target rate and draining excess cash in the economy. They ought to raise the Fed funds rate a full percentage point next week and another percentage point in November and then a third percentage point in December in order to stop the inflation tide. This is a painful wage-price spiral. We haven't seen one of these for four decades.

There is another approach here that would help save America from a truly deep recession. Move to the supply side. Cut tax rates. Open the fossil fuel spigots. Stop the regulatory stranglehold on business. Start rewarding success instead of punishing it. Implement workfare to bring over 4 million people back into the labor force.

Unfortunately, the big-government socialists in the Biden administration don't understand any of this. Their woke progressive thinking has done great damage. It's an utter failure. The good news is Americans know this. That's why the cavalry is coming.


Source

© Copyright Original Source

Personally I have a lot less confidence in the cavalry coming to our rescue. Republicans are great at complaining about things and then just standing around doing nothing about it when they gain power. I think their supposed effort to repeal Obamacare makes that clear.

[rogue06]

The lesson that should be learned is not to celebrate such nonsense in the first place. Celebrating the passage of the "Inflation Reduction Act" should have been low-key, just with the grifters and elites that profit from it in attendance and without coverage.

They need to convince America that the passage of the Inflation Support Act (if there was truth in advertising) was a good thing and not the latest thing to send prices soaring yet again.

[Sparko]

The lesson that should be learned is not to celebrate such nonsense in the first place. Celebrating the passage of the "Inflation Reduction Act" should have been low-key, just with the grifters and elites that profit from it in attendance and without coverage.

The dems think the people are idiots and can be controlled via gaslighting. If they say "inflation reduction act" enough times they think people will believe them over what they see in the actual economy.

[Ronson]

They need to convince America that the passage of the Inflation Support Act (if there was truth in advertising) was a good thing and not the latest thing to send prices soaring yet again.

That's the job of the legacy media. They have their backs. So having James Taylor singing folk songs with these guys grinning in the background doesn't really achieve much.

I'll have to ask my braindead, CNN-watching father-in-law what he thinks about it.

[Mountain Man]

Personally I have a lot less confidence in the cavalry coming to our rescue. Republicans are great at complaining about things and then just standing around doing nothing about it when they gain power. I think their supposed effort to repeal Obamacare makes that clear.

One of the reasons folks like Mitch McConnell love being in the minority party. They make a show of resistance which plays well with their "base" without actually having to accomplish anything. They can just shrug their shoulders and say, "Eh, we tried."

[rogue06]

As an aside, I think we'll start seeing gas prices begin to inch back up in the next month.

Prices have dropped which old Joe wants the credit for (after repeatedly insisting he had no control over it), and in a sense he deserves it.

The drop is the result of sending the economy into recession which reduced demand. When demand drops but supply remains the same, barring government interference, prices will drop.

That's just Economics 101.

But OPEC is reacting to this and preparing to cut production to match the reduce in demand and therefore causing prices to rise.

And then there is the Strategic Oil Reserve.

Old Joe has sent it to its lowest levels trying to keep Democrats in power. It WILL need to be replaced. But at roughly $100/barrel cost. That will be yet another massive government expenditure bound to cause increased inflation.

Furthermore, when it is being replenished that will cause an increase in demand being yet another factor in the price going back up.

saupload_strategic_petroleum_reserve_spr.jpg

The damaged that the demented duffer has done to our economy will be long term

[seanD]

LOL.

They were screwed either way. They had this planned for a while now. If they had cancelled the party after the stock market news came out the headlines would be "Biden cancels celebration of "Inflation Reduction Act" after Stock market had it's worse day since 2020"

Do you honestly think the MSM headlines (other than Fox News) would have read that? Seriously?

[rogue06]

Do you honestly think the MSM headlines (other than Fox News) would have read that? Seriously?

Likely they wouldn't have covered it and simply ignored it to avoid the issue entirely.

[firstfloor]

Trump is circling the drain. Here comes DeSantis to finish what Trump started.

[CivilDiscourse]

Trump is circling the drain. Here comes DeSantis to finish what Trump started.

Trump being done won't hurt my feelings. Of course, the cries as republicans follow the precedents set down by democrats during his presidency will warm my soul.

[Stoic]

As an aside, I think we'll start seeing gas prices begin to inch back up in the next month.

If nothing else, all the people who were working from home now having to go to the office starting this month means more demand.

Prices have dropped which old Joe wants the credit for (after repeatedly insisting he had no control over it), and in a sense he deserves it.

The drop is the result of sending the economy into recession which reduced demand. When demand drops but supply remains the same, barring government interference, prices will drop.

That's just Economics 101.

And mostly a result of what the Fed is doing, rather than Biden. (Selling oil from the SPR might have had a small impact on prices.)

But OPEC is reacting to this and preparing to cut production to match the reduce in demand and therefore causing prices to rise.

If OPEC matches the decline in demand, it shouldn't cause prices to rise. And of course it would help the US oil industry recover.

And then there is the Strategic Oil Reserve.

Old Joe has sent it to its lowest levels trying to keep Democrats in power. It WILL need to be replaced. But at roughly $100/barrel cost. That will be yet another massive government expenditure bound to cause increased inflation.

That cost will be roughly balanced by the revenues that were received from selling the oil.

Furthermore, when it is being replenished that will cause an increase in demand being yet another factor in the price going back up.

It can be replenished slowly enough to not have a significant impact on prices. For that matter, it becomes a tool to prop up the price in case it drops too far, so we don't have to go through this again.

[rogue06]

If nothing else, all the people who were working from home now having to go to the office starting this month means more demand.

It seems that be back after Labor Day pretty much fizzled and the return to offices will be more of a trickle than a flood

And mostly a result of what the Fed is doing, rather than Biden. (Selling oil from the SPR might have had a small impact on prices.)

Everything is the result of soaring inflation rates. The Fed might send us into a deeper recession as a remedy for inflation (always a harsh solution though), but the inflation is the result of the policies of this Administration and the Democrats in control of Congress.

You know the same folks who first pretended that inflation didn't exist, then it was transitory and a sign of a strong economy, followed by it now suddenly being Putin's fault, to we're at 0% inflation -- let's spend a couple trillion more dollars that we'll have to print up.

If OPEC matches the decline in demand, it shouldn't cause prices to rise. And of course it would help the US oil industry recover.

Production is currently exceeding demand which means the price drops. The law of supply and demand.

If you cut back production to meet demand, then there is not an excess in the supply, which drove the prices down in the first place, meaning now the prices will start going back up. Again, the law of supply and demand.

...For that matter, it becomes a tool to prop up the price in case it drops too far, so we don't have to go through this again.

Wait. Do you think that these soaring energy costs and inflation unlike anything we've seen since the Carter malaise over 40 years ago was the result of oil prices being too low?