Remember, if Fed Chair Kevin Warsh can slay inflation by keeping rates steady, in fact, it is akin to a rate cut. In other words, he doesn’t need to raise rates. Pay attention to see if Warsh can accomplish his goals. And if you want help with your own inflation fight, let me know.
Warsh recently explained his view of inflation, telling the House Financial Services Committee, “While monthly price fluctuations are inevitable — especially in an unsettled world — underlying inflation over longer time horizons is determined largely by monetary policy. The members of our Committee have no tolerance for persistently elevated inflation. And we share a resolute commitment to restoring price stability.”
Action Line: A good place to start is for Warsh to decrease the size of the Fed’s balance sheet. And a better place for you is to increase yours. Let’s talk. Email me at ejsmith@yoursurvivalguy.com. And click here to subscribe to my free monthly Survive & Thrive letter.
