{"id":29376,"date":"2018-01-03T15:12:40","date_gmt":"2018-01-03T20:12:40","guid":{"rendered":"http:\/\/olduvai.ca\/?p=29376"},"modified":"2018-01-03T15:12:40","modified_gmt":"2018-01-03T20:12:40","slug":"2018-economy-goes-cold-inflation-hot-danielle-dimartino-booth","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=29376","title":{"rendered":"2018 Economy Goes Cold \u2013 Inflation Hot \u2013 Danielle DiMartino Booth"},"content":{"rendered":"
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2018 Economy Goes Cold \u2013 Inflation Hot \u2013 Danielle DiMartino Booth<\/a><\/h3>\n<\/header>\n
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\"\"<\/a><\/strong>Former Fed insider Danielle DiMartino Booth is not optimistic about a surging economy in 2018. Booth contends, \u201cWe have seen 24 consecutive back-to-back months when credit card spending has outpaced incomes.\u00a0 That tells you households are struggling to get by.\u00a0 This is not Eve Saint Laurent handbags and Jimmy Choo shoes.\u00a0 These are families who are using their credit cards to take care of the necessities, to fill up the gas tank, to buy groceries and fill up their refrigerator. . . . We have seen month after month of subprime automobile delinquencies, and we are starting to see a big tic up in FHA mortgage delinquencies as well. . . . We are at almost 10% (delinquencies) of FHA mortgage loans.\u00a0 Underlying this sugar high that we will see from all of these hurricanes and rebuilding efforts and wildfires, underneath that, still waters run deep and the economy is not doing well.\u00a0 We are a consumption driven economy that is weakening underneath.\u00a0 The sugar high will absolutely wear off in 2018.\u201d<\/p>\n

<\/span>What about the bond market in 2018? Booth says, \u201cWe have gone from $150 trillion (in global debt) in 2007 to $220 trillion and counting today.\u00a0 If you delude yourself into thinking a rising rate environment can be good when we have tacked on $70 trillion of debt in the last decade, you are fooling yourself.\u00a0 It is an accident waiting to happen, and anyone who doesn\u2019t think that it will take the stock market down with it is more optimistic than I am by a country mile.\u201d<\/p>\n

Booth says, along with a \u201cbond market debacle,\u201d the world will see inflation right along with it. Booth explains, \u201cLook at lumber prices, look at the cost of packaging, plastics, raw materials, the producer price index . . . is at a six year high right now. \u00a0It\u2019s called the mother of all margin squeezes.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

2018 Economy Goes Cold \u2013 Inflation Hot \u2013 Danielle DiMartino Booth Former Fed insider Danielle DiMartino Booth is not optimistic about a surging economy in 2018. Booth contends, \u201cWe have seen 24 consecutive back-to-back months when credit card spending has outpaced incomes.\u00a0 That tells you households are struggling to get by.\u00a0 This is not Eve […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[13492,8757,426,841,9699],"class_list":["post-29376","post","type-post","status-publish","format-standard","hentry","category-economics","tag-danielle-dimartino-booth","tag-greg-hunter","tag-inflation","tag-us-economy","tag-usa-watchdog"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/29376","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29376"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/29376\/revisions"}],"predecessor-version":[{"id":29377,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/29376\/revisions\/29377"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29376"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29376"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29376"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}