The inflation trade is on. Silver up 7% today and 15% this week. Platinum up 4%. Gold another 2%. Oil – even after bearish gasoline, distillate and inventory report, is flat and should be down in the 30’s.

The market is up. Interest rates are 0, and there has never been such a disconnect between employment, wages, real inflation and Wall Street.

It’s hard to watch because the decision has been made by politicians (many in their 70s) to inflate house prices, inflate asset prices and protect their nest egg while ensuring that the current generation and their kids face an economic crisis. The vulnerable, elderly people are having a CV windfall! They stay in their house, out of the workforce and their retirement goes up while social security and Medicare get depleted. And the workers get laid off, with wage deflation coming.

If we were really “awake”, THAT’S what people should be protesting about. The Fed leaving ample liquidity in the system rather than unwinding the balance sheets and let price discovery occur.

I ask myself this everyday: does it feel like the economy is 3% worse than it was in February? Then why is the S&P there? And that’s not even mentioning the Nasdaq at all time highs with 6 (yes six) companies accounting for half its value.

Scary AF.

#hottakeoftheday