Anyone Afraid Of Inflation?

[UnionStrong]

Most people spent that pandemic money

I don’t know how anyone would think savings increased under these conditions.

 

[Up In Smoke]

Personal savings ranged between 400B and 800B for the 3 years before COVID cash

 

[IVE GOTTA PACKAGE 4U]

I don’t know how anyone would think savings increased under these conditions.

Everything's going up faster than the raises you get at work

 

[Over70irregs]

That's because they sold a ton of 5-year debt during a pandemic at a very low interest rate

I should’ve taken more cheap $.

 

[IVE GOTTA PACKAGE 4U]

I should’ve taken more cheap $.

The 10 year was it like a half a percent

 

[Over70irregs]

The 10 year was it like a half a percent

I hate to say it but debt was cheap if used properly

 

[IVE GOTTA PACKAGE 4U]

I hate to say it but debt was cheap if used properly

The cheap money is gone for a while

 

[Up In Smoke]

The cheap money is gone for a while

Cheap money only benefits one half of the equation. The financers need to make money or the whole process breaks down. QE went too far for too long.

 

[IVE GOTTA PACKAGE 4U]

Cheap money only benefits one half of the equation. The financers need to make money or the whole process breaks down. QE went too far for too long.

Eventually zero percent interest on a credit card runs out
Now 33 trillion dollars later...

 

[Up In Smoke]

Eventually zero percent interest on a credit card runs out
Now 33 trillion dollars later...

More than 1/3 of the national debt has been added in the last 5 years and no one seems to care.

 

[IVE GOTTA PACKAGE 4U]

More than 1/3 of the national debt has been added in the last 5 years and no one seems to care.

Just wait until the tax rates go up in 2025 and the secure act kicks in

They want their money

 

[Over70irregs]

The cheap money is gone for a while

In order for people to buy the debt the treasury had to pull up interest rates. With foreign buyers pulling out a quarter of debt was stuck. The market somehow has to make up 1/4 of debt.

US Inflation Falls to 3.2%

Consumer data has shown that US inflation has fallen to 3.2% for October, falling for the first time in three months.

watcher.guru

 

[Over70irregs]

More than 1/3 of the national debt has been added in the last 5 years and no one seems to care.

I heard HELOCS,CC, 401k raiding is rampant.

 

[Up In Smoke]

PPI was a pleasant surprise at (.5) compared to a .1 expected. Retail sales was also better than expected. The Fed has a lot of data to mull over before their next meeting.

 

[Up In Smoke]

I heard HELOCS,CC, 401k raiding is rampant.

I saw a couple articles, but the sample size and demographics were skewed to drive concern. If you're borrowing against an asset to pay down a debt is bad, but if you're borrowing to meet monthly expenses, it's really bad.

 

[Darmark7]

On the bright side my Jumbo CD is paying 6%.

 

[Over70irregs]

On the bright side my Jumbo CD is paying 6%.

Interesting. This is where you ask is it better to get your +5% interest or pay down 2,3,4% mortgage?

 

[Over70irregs]

I saw a couple articles, but the sample size and demographics were skewed to drive concern. If you're borrowing against an asset to pay down a debt is bad, but if you're borrowing to meet monthly expenses, it's really bad.

Or option 3. Borrow cheap $ to acquire dividend paying asset(s)?

 

[UnionStrong]

Interesting. This is where you ask is it better to get your +5% interest or pay down 2,3,4% mortgage?

After inflation, how much are you really making? 2%?

 

[Up In Smoke]

Or option 3. Borrow cheap $ to acquire dividend paying asset(s)?

If borrowers are getting 5+% from bonds and treasuries, they have no need to borrow it to the consumer on the cheap.