Peter's Blog

The Fed Is Losing Money; So What?

The Federal Reserve is bleeding money and losses are mounting. So, what does this mean? Is the central bank in danger of going under? Hardly. In fact, losing money isn’t a problem for the Fed at all. But it is a big problem for the US government.

This “Strong” Economy Is a Facade Built Out of Debt

Retail sales surged in January, creating the impression that the economy is humming along nicely. After all, there can’t be a problem if consumers are out there consuming, right? But a lot of people are ignoring a key question: how are people paying for this shopping spree?

Does Gold Really Preserve Purchasing Power? The Case of the High-End Suit

One of the characteristics of gold is that it preserves wealth in a world of constantly devaluing fiat currency. Put another way, it preserves your purchasing power over time.

Thomas Jefferson’s Blueprint for Handling the National Debt

The way Thomas Jefferson handled the national debt should serve as a blueprint for today. But instead, modern presidents look more like college students on a spending spree with their first credit cards.

January CPI Throws Cold Water on “Disinflation” Narrative

After the December Consumer Price Index (CPI) report, the mainstream was giddy. “Inflation is over!” they proclaimed. “The Fed is winning the inflation fight!” they cried. “We are entering a period of disinflation!” they insisted. Well, the January CPI report threw cold water on that disinflation narrative.

“Supercore” Inflation: The Latest Buzzword to Remind You Everything Is Fine

There is apparently a new economic buzzword out there – supercore inflation. CNN says this is a buzzword we all need to pay attention to. Why?

Why You Should Take the Latest Jobs Report With a Grain of Salt

If you have any skepticism of government narratives at all, you have to question last week’s non-farm payroll report from the Bureau of Labor Statistics. Given the number of layoffs and the general slowing of the economy, the notion that 517,000 jobs were created in January just doesn’t make sense. Turns out that your skepticism […]

Is the Fed Easing Up on the Inflation Fight?

Is the Federal Reserve easing off the accelerator on its inflation fight? The answer depends on whether you believe your eyes or your ears.

Fed Officials Claim They Can Shrink the Balance Sheet a Lot More; They Can’t

Federal Reserve officials insist they can still shrink the balance sheet significantly more than they already have. You can file this assertion under the same category as “inflation is transitory,” and “the problems in the subprime mortgage market are contained.” In other words, Fed officials have detached from reality — again.

The Trillion-Dollar Coin: A Dumb Idea That Won’t Go Away

Policy wonks and government people come up with some really dumb ideas. And a lot of those dumb ideas just won’t go away. Now that we’re in the early stages of the fake debt ceiling fight, a really dumb idea has been resurrected from the dead – the trillion-dollar coin.