David Haggith returns to the show, head of The Daily Doom, comments on the new record spot gold price!
- On Monday, spot gold briefly touched a new all-time record high, near $2,140!
- If the Fed fails to pivot on rates, will higher rates hold US equities down?
- Will the banking crisis contagion, i.e. Evergrande-bankruptcy, spread worldwide?
"Well, you know, there's been quite a bit of insanity with it. And it's hard to say when that insanity is going to break. In my view, they could do well through this month, possibly. I mean, it's kind of the natural [month]; December is the easiest month for equities and they've been, you know, soaring for ridiculous reasons - it's all about this idea that the Fed's almost done now and then the Fed's going to pivot and that's just nonsense. The Fed may be done tightening. It might stop, you know, raising rates.
But if it does, it certainly isn't going to turn around and pivot and start lowering them this next year. And the Fed said that over and over and over, and the market keeps betting: "Oh, no, they're going to turn around and they're going to pivot right away." [The stock market] doesn't believe we're going into recession, I believe we're already in a recession. The Fed never sees the recession coming when it's standing in the middle of one."
- Our guest thinks that the bond-market challenges could support a stagflationary crash.
- Is the US economy on the cusp of a Great Recession 2.0++ ?
- Is inflation much higher than officially stated - due to hedonic adjustments?