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| By Jim Nelson |
This week, the Fed decided to keep interest rates where they are instead of raising them to fight inflation.
While Fed Chair Kevin Warsh’s comments seem to remain hawkish and insistent that the committee is committed to battle rising rates, he let slip a little high-level economic lingo that says quite the opposite.
Warsh referred to the Lucas Critique and Goodhart’s Law, which are economic concepts that basically say targets don’t work.
Meaning, the Fed’s 2% inflation target might not be the actual goal.
Warsh noted, “Who knows [what] comes after next January, what we might say about strategy. I suspect the task forces might have something to add.”
Whether this is a confirmed “moving of the goalposts” or not, it’s clear that higher-for-longer inflation will be with us for many more months.
Nilus Mattive has been following these moving goalposts for years.
On Monday, he gave you three ways to protect yourself.
When you combine rising prices with the fact that the stock market has the lowest average dividend yield in the past 50 years, you can see the mess we’re in.
Now more than ever, investors are in need of larger income from their investments.
And that’s exactly why Dr. Martin Weiss and Nilus decided to open up their favorite income strategy for a limited time.
If you look at declining income and rising inflation and come to the same conclusion as us, you’ll want to watch this now.
Here’s what else your experts are cooking up as the Fed does nothing …
Why REITs, BDCs & MLPs Should Be in Your Portfolio
Above, I noted record low dividend yields. But not all stocks have forsaken their shareholders. There are three categories of stocks that still pay hefty dividends.
3 Gold Myths & How to Play Them
Christopher Nolan isn’t the only one who can tell a story about a myth. Sean Brodrick has three of his own that point to higher gold prices.
Government-Owned AI Isn't About Sharing the Wealth
Michael A. Robinson takes a look at how two famous politicians with drastically different politics arrived at the same conclusion. And why it’s not great that they did.
How to Position for the AI Drug Boom
A recent $600 million deal in the world of drug development shows that this industry is about to boom. Michael has the perfect way to play it without betting on any drug maker.
Have a great weekend!
Jim Nelson
Managing Editor, Weiss Ratings Daily
