WHAT THE MARKET WON'T TELL YOU.
Inflation is not a number. It is a transfer of wealth from those who save to those who borrow.
CPI: +6.2%Every central bank decision is a confession that the previous decision was insufficient.
RATE: 5.25%GDP measures activity, not welfare. A hurricane raises GDP. Think about that.
GDP: +2.1%The market can remain irrational longer than you can remain solvent.
VIX: 34.7Debt is future consumption brought to the present. The future always arrives.
DEBT/GDP: 121%Markets crystallize around consensus. Consensus is temporary.
Each facet reflects a different assumption about growth.
Pressure creates structure. Structure creates fragility.
TOMORROW IS ANOTHER ECONOMIC DAY.