Source: tradingeconomics.com
Yesterday, the Federal Reserve (Fed) decided to hike the interest rate by a quarter percent in light of the elevated inflation level. Even more importantly, it decided to do it unanimously, which means that the two minions, including the Fed Chair, installed by the biggest bully and evil of the world also finally came to the realization and truly served the country by focusing on what matters to the ordinary people for the long run, not just the elite class.
Inflation does not erode much the ‘ability’ or value of the assets held by well-heeled investors, however, for the ordinary Joe’s, it is their day-to-day living that is significantly hampered by the ‘claws’ of inflation.
The rise in the interest rates came after about 3 years when the Fed left their job ‘unfinished’ by not raising the rates enough and furthermore, cutting it in 2024 and 2025 aggravating the inflation issue even more. The entire situation got worsened by two catastrophic decisions made by the ‘inept’ presidential administration or we must say the most ‘dangerous and harmful’ man of the century after Adolf Hitler.
First catastrophic decision was to pursue the wrong-headed strategy, against the advice of all major economists and plain common sense, of instituting tariffs on most every nation in this giant and interconnected world including our allies that was announced on the so called ‘Liberation Day’ in April 2, 2025. Of course, the naming it as such was the height of hypocrisy just as the entire ‘conservative’ establishment is or much more than their ‘liberal’ counterpart.
That was followed by another catastrophic decision to fight a unilateral war with Iran that began on February 28, 2026 and still goes on after almost 7 months with no end in sight.
Thank God and many thanks to our Supreme Court including brave conservative judges that struck out the tariff ruling and situation was brought under control. However, the war with Iran still rages on with the Congress that is coward, corrupt and paralyzed as always with no real leaders that are truly ready to serve the country.
The good news, in my view, is that the 2025 marked as the true bottom for our democracy in decline that was brought to its heel almost ready to die with sheer hopelessness. The year that marked the beginning of the second term of the ‘evil empire’ led by the ‘Evil Commander-in-Chief’ that literally started wreaking havoc on the ordinary people and even throughout the world for that matter. It is no less than waging a war on its own people – America itself and innocents of the world.
Finally, the best of the mankind started showing up as more and more evil acts started to affect greater number of people in this great country and even the world.
Let us be ‘realistic’. We still have a long way to go; however, I feel better and ‘hopeful’ now that America will ‘eventually’ do the right thing, albeit at a very high cost. We already have paid enough and will continue to pay more for the misdeeds that we have done, though, there is no getting away from the ‘Law of Karma’. Everyone must pay his or her dues – individually and as a country.
The reason that I stopped writing, at least momentarily, after May 27th post is that there is so much negativity all around so what is the point of keep writing negative piece one after another? There has to be enough “light” to talk about and if all we see is “darkness” all around then it defeats the purpose.
On the financial markets front, the 10-year treasury yield hit 5% yesterday, rightly so, though, an ominous sign of things to come. Similarly, the housing market continues to plumb new depths such as the lowest housing ‘turnover’ in over 3 decades. Over 3 decades!! Talk about the affordability issue.
On the crazy dizzying level of the stock market, one more casualty has occurred from the trillion-dollar market club. Eli Lilly (ELY) teeters at the edge of the exclusive club – on again and off again. A good example will be the ‘homage’ paid by Walmart (WMT) by being a member of this most coveted club for the time-being. Micron (MU) is the next casualty to be followed by Tesla (TSLA). Keep watching, though, we cannot hold our breath given the fact that market craziness still continues.
Much more has happened in the preceding few months since we wrote the last piece such as SpaceX (SPCX) going public at a multi-trillion-dollar valuation, the most flagrant example of completely lost fabric of America’s institutionalized systems of controls, checks and balances. There is not a greater example than that for fleecing America and its magnitude. Lawlessness has not only infected the highest seat of the world, The White House, though, other parts associated with that as well, namely Wall Street.
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