Thursday, June 27, 2013

The interest rates are creeping up!!! Is this the start of inflation?

I cannot help but think that the feds are just printing more money. As they keep on with this same old tired pattern two things will happen. The first is that they will have forced the dollar into an unfavorable position globally. The second is that inflation will ensue. In case you didn't notice the interest rate just jumped almost two percent in one month. That is the highest jump like that in twenty plus years. Is this the start of the inflation that we all know is coming? It could be. Th real problem is if both of these circumstances hit us at the same time. Imagine the dollar losing more of its value coupled with the inflation rate at the same time. This could make the super economic storm known as hyper inflation. What that means is that things are so out of control that people would not be able to afford food. It would be like the stock market crash in the 1920's all over again. Only this time it would be closer to the 2020's. What are most peoples reaction? They are in denial. If you bring this up they will say that wont happen or some other excuse to make themselves feel better.  Always remember if you fail to plan you plan to fail. I hope for the sake of everyone that this is just going to be normal inflation. I can't help but be very suspicious though.

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