John Williams just warned that significant inflation will feed into the global system because of rising oil prices and the Fed’s policy to debase the dollar. Williams, who founded ShadowStats, also warned the US dollar will take a major hit because of global “dollar dumping.” Here is what Williams had to say about the situation: “With oil and gasoline prices pressured by market concerns over Middle Eastern political stability, monthly consumer inflation jumped in February and stabilized in the three-plus percentage range on a year-to-year basis.”
John Williams continues:
“The current level of inflation, however, stands where it is due primarily to the effects of the Federal Reserve’s efforts to debase the dollar, which, in turn, spiked global oil prices into the $100 per barrel range. The effects of the dollar-debasement and oil-price-spiking policies not only had direct inflationary impact on energy-related prices, but also—in the period following QE2—had an accelerating upside impact on inflation throughout the broad economy, as indicated by rising “core” inflation (net of food and energy inflation).
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Showing posts with label John Williams. Show all posts
Showing posts with label John Williams. Show all posts
12 March 2012
John Williams - Intensifying Crisis & Staggering Unemployment
John Williams just warned that the ongoing financial problems have horrendous implications for the markets and systemic stability. Williams, who founded ShadowStats, also noted that U6 unemployment levels are not being reported by the mainstream media and they are at staggering levels. Here is what Williams had to say about the situation: “The outlook for the broad economy remains bleak, despite relatively upbeat February payroll data. Deterioration in the January trade deficit and related revisions suggest negative impact on first-quarter 2012 GDP reporting, along with increasing downside pressure on the U.S. dollar from underlying economic and political fundamentals.”
John Williams continues:
“Systemic-solvency and liquidity issues continue to plague the Fed and to restrain U.S. economic activity. Bank lending remains impaired, while household income has taken a new hit, as indicated in recent reporting. Separately, as detailed in the Hyperinflation Watch, annual and monthly growth in the broad money supply appears to be stalling, again. That likely is a further indication of mounting difficulties in the systemic-solvency crisis.
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John Williams continues:
“Systemic-solvency and liquidity issues continue to plague the Fed and to restrain U.S. economic activity. Bank lending remains impaired, while household income has taken a new hit, as indicated in recent reporting. Separately, as detailed in the Hyperinflation Watch, annual and monthly growth in the broad money supply appears to be stalling, again. That likely is a further indication of mounting difficulties in the systemic-solvency crisis.
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02 March 2012
John Williams - Horrendous Implications for Systemic Stability
John Williams just warned that current problems have horrendous implications for the markets. Williams, who founded ShadowStats, also noted that Bernanke continues to pay lip-service regarding inflation-containment. Here is what Williams had to say about the situation: “Recognition of an intensifying double-dip recession as well as an escalating inflation problem remains sporadic. The political system would like to see the issues disappear until after the election; the media does its best to avoid publicizing unhappy economic news; and the financial markets will do their best to avoid recognition of the problems for as long as possible, problems that have horrendous implications for the markets and for systemic stability.”
John Williams continues:
“Until such time as financial-market expectations move to catch up fully with underlying reality, or underlying reality catches up with the markets, reporting generally will continue to show higher-than-expected inflation and weaker-than-expected economic results in the months and year ahead. Increasingly, previously unreported economic weakness should show up in prior-period revisions.”
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John Williams continues:
“Until such time as financial-market expectations move to catch up fully with underlying reality, or underlying reality catches up with the markets, reporting generally will continue to show higher-than-expected inflation and weaker-than-expected economic results in the months and year ahead. Increasingly, previously unreported economic weakness should show up in prior-period revisions.”
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27 February 2012
John Williams: Warning - Monetary Base Spikes to Historic Level
John Williams just issued a warning regarding the Monetary Base vaulting to a historic high. Williams, who founded ShadowStats, also stated the reason for the expansion is directly related to a deepening systemic solvency crisis. Here is what Williams had to say about the situation: The seasonally-adjusted St. Louis Fed Adjusted Monetary Base just jumped to an historic high level in the two-week period ended February 22nd, as shown in the (above graph). The movement here largely is under direct control of the Fed’s Federal Open Mark Committee (FOMC) and is suggestive of a deepening systemic solvency crisis.”
John Williams continues:
“Adding liquidity to the system usually is contrary to the action that would be taken if the Fed were trying to reduce inflation. Indeed, the Fed is not trying to reduce inflation—despite inflation running significantly above its 2.0% inflation target—instead, the U.S. central bank continues its efforts to provide liquidity to a still severely-impaired U.S. banking system.
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John Williams continues:
“Adding liquidity to the system usually is contrary to the action that would be taken if the Fed were trying to reduce inflation. Indeed, the Fed is not trying to reduce inflation—despite inflation running significantly above its 2.0% inflation target—instead, the U.S. central bank continues its efforts to provide liquidity to a still severely-impaired U.S. banking system.
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11 February 2012
06 February 2012
04 February 2012
SilverDoctors: Turd Interviews ShadowStats' John Williams
SilverDoctors: Turd Interviews ShadowStats' John Williams: Our friend Turd at TFMetalsreport has released an excellent podcast with ShadowStats' John Williams. John discusses his prediction for a hy...
20 January 2012
20 December 2011
John Williams - Gold to Prevail as System Falls into Disorder : The earlier all-time high of $850.00 of January 21, 1980 would be $2,472 per troy ounce, based on November 2011 CPI-U-adjusted dollars, $8,702 per troy ounce based on SGS-Alternate-CPI-adjusted dollars. In like manner, the all-time high price for silver in January 1980 of $49.45 per troy ounce, although approached earlier this year, still has not been hit since 1980, including in terms of inflation-adjusted dollars. Based on November 2011 CPI-U inflation, the 1980 silver price peak would be $144 per troy ounce and would be $506 per troy ounce in terms of SGS-Alternate-CPI-adjusted dollars.”
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