Saturday, August 27, 2022
Wednesday, August 24, 2022
Memory Eternal: Metropolitan Kallistos (Ware)
Tuesday, August 23, 2022
Black Ribbon Day 2022
Friday, August 19, 2022
'Ludicrous.' 'Ridiculous.' 'A complete fiction.': Former Trump officials say his claim of 'standing order' to declassify is nonsense
Sunday, August 14, 2022
Douglas MacArthur: Farewell Address to the Corps of Cadets at West Point
Wednesday, August 10, 2022
A Good Presentation on the 5th Amendment
Longtime readers of this blog will know my opinions of Donald Trump. But the one thing you won't read on here is an attack on him for taking the 5th. The 5th amendment exists to protect the innocent. That it ocassionaly also protects the guilty is an unfortunate, but IMO, acceptable trade-off.
Thursday, August 04, 2022
L'Affaire Wikipedia
Recession or no?
Some people will have heard the shocking report that a cabal of lefty activists on Wikipedia changed the definition of a recession in their article to conform to the preferred verion of the Biden Administration and then locked the article to ensure no one would be able to change it back.
Here is what really happened.
Tuesday, August 02, 2022
Rod Dreher: Filicide Of The Catholic Faith
Sunday, July 31, 2022
Pope Francis Hints at Retirement
Friday, July 22, 2022
Wednesday, July 20, 2022
Non-Profits Are Seeking IRS Classification As "Churches"
Europe Moves Towards Fuel Rationing
Saturday, July 16, 2022
The latest on Rome and the Methodists
Friday, July 15, 2022
The latest on the Greek Baptism scandal & etc.
The latest issue for Israel's ultra-orthodox Jews? Smartphones
Inflation is red hot but bonds are doing well. What gives?
What the heck is going on?
The answer is in two parts. First, a lot of traders think the inflation is peaking, and thanks to aggressive rate hikes, will start falling next year. Some of them are placing bets on that scenario.
Secondly, and IMO probably more significantly, as bad as things are here, they are significantly worse elsewhere. Europe is an economic disaster area thanks to severe shortages of just about everything compounded by Russia's war in Ukraine. Add to this are the highly justified fears that Russia might cut off oil and gas exports to Europe and you have something resembling a controlled state of panic over there. There is serious discussion of gas and fuel rationing for the first time since the aftermath of World War II.
Further is the slow reaction of foreign central banks to combat inflation which is worse in much of the rest of the world. Thus far it looks like in Europe the decision has been made that inflation is the lesser of evils and will need to be tolerated until the Ukrainian situation calms down and some normalcy returns to the broader economy. And it is even more pronounced in some less developed economies where inflation is so severe that it is threatening the stability of the country. Think Turkey, Argentina (a country with defaulting on their debt rivaling soccer for the national pastime) and Venezuela which, thanks to decades of socialism, was an economic basket case long before the pandemic.
All of this is making the US dollar highly attractive. A lot of foreign money is pouring into US securities which is driving down bond yields, despite the high inflation, and shoring up stock prices. In short, the dollar is looking like the safest house in a crappy neighborhood right now.
So, is there any upside to all of this for the average American? Not a lot, unless you are planning a trip abroad. In which case you will find your dollar delivering the best return in recent memory with all major currencies at multi-decade lows relative to the USD. If this continues it could prove injurious to the American economy as our goods and services will become more expensive to export and foreign goods and services will become cheaper.
