INFLATION

>>1612099
He'll raise inflation from his infrastructure plans but that's only going to be temporary. The real problem is ageing demographics. The older you get the more conservative you are with spending so that's going to keep long term inflation low unless we a big war or something on the scale of an engineered hyperinflation scenario involving excessive money printing.

QE rounds 3 and 4 combined with crazy deficits from military and infrastructure projects might devalue the dollar enough to cause inflation. Trade war would definitely cause inflation. Foreign countries and banks calling in debt obligations would cause inflation.

Who knows tho? Maybe Pence will take over. https://www.youtube.com/watch?v=spqXoVs_FE4

>>1612099
good. inflation is a good thing right? that's what leading Brexit economists keep saying.

>>1612099
Sorry for the advertising/financial education
https://www.youtube.com/watch?v=UsUcJ0ZxbAk

>>1612112
ITYM an engineered inflation scenario involving excessive money printing.

Although hyperinflation requires money printing, money printing alone is not sufficient to cause hyperinflation.

>>1612127

Inflation isn't good per se, but it is necessary to prevent even more harmful deflation and a necessary evil when deficit spending.

>>1612099
>Is Trump going to raise inflation?
Do you think he will actually implement tariffs? If that happens you're defiantly going to get inflation on consumer goods.

>How much?
It could be anywhere between very small to hyperinflation since he isn't clear on what he's really going to do.

>And what about interest rates and the FED?
>Is he in good terms with Janet Yellen?
Trump called Yellen a political hack and he said he likes low interest rates then he later said he wants to see interest rates go up, so idk

>>1612227
Changes in the money supply isn't what you want to be looking at. We have had a shit load of money printing since 08 and you have seen no real general inflation break out. What matters is what's really going on with spending in the economy. Where and by whom is the money being spent.

>>1612231
Inflation is neccesary? Inflation of what? Housing prices... stocks... consumer goods? Trying to say inflation of the price of food is good is retarded. Raising prices is good for buinesses maybe but not good for consumers e.g. today the agriculture sector is subsidized (allowing them to maintain lower prices) essentially by the government spending in the form of aid spending to dump products on the third world to keep them dependent upon the US. Where money is being spent and by whom effects prices.

how to defend myself from inflation?
I'm in the Euro zone right now

>>1613160
>inflation
>in the euro zone

Hahaha good joke

>>1613160
>inflation
>euro
?

>>1612099
https://www.youtube.com/watch?v=om7fRPTAO8c
https://www.youtube.com/watch?v=6v9PjG5TThA

>>1612262
>Inflation is neccesary?
It is. That guy is right. It's a symptom of capitalism and central banking. If the FED prints 100 bucks, the US Treasury lends those 100 bucks and has to pay them back with interest. Let's say they have to pay back 110 after 10 years. But how can they repay 110 if only 100 were printed? This is where inflation steps in. More money has to be printed leading to devaluation. As a result we become addicted to GDP growth and have to try and chase inflation with a growing real world economy.

Sure. It would be nice for a lot of people if we lived in a static economy with a fixed amount of money, fixed wages and prices and wouldn't require any growth. But that's stagnation and simply not the system we live in.

The ECB (for better or worse) has a target inflation of 2% for the Eurozone. That is their one main goal accirdubg to theit charter, the ideal economic scenario. 2%, not 0%.

>>1613269
>target inflation of 2% for the Eurozone

that's exactly why I was asking

buying long term bonds in the Euro zone is not the correct defense right now, unless they are specifically linked to inflation (do they exist? please point me to one of them, for reference; a serious one, rated at least A, not the memes BBB- from Italy)

I've read that in some part of Europe inflation is already projected at 0.5% for 2017, I need a good source tho

buying stocks funds is scaring as hell too , with Trump and all the mess that could happen, so yeah, I need a strategy

>>1612262
Despite the "money printing", the total supply of money's hardly changed because (contrary to the Fractional Reserve Banking meme) increasing the monetary base doesn't increase the broad money supply. The latter correlates very well with the spending rate.

Having some inflation is good for business because it makes loans easier to pay off, thus it encourages investment. But more significantly, the measures that governments use to control inflation tend to be bad for business.

>>1612099
>Is he in good terms with Janet Yellen?
hahaha no he detests her

only woman he hates more is clinton

>>1612099
Inflation is inevitable with a fucked budget. When rates start rising inflation will start rising, you wait and see. People will start fussing when inflation hits 3%. They might even accept fixing the budget if it gets out of control towards 20%. 30 years or less, probably less than 15 is my best guess.

>>1612127
Inflation can destabilise an economy and the US is not the UK, they are in completely different positions.

>>1614613
>destabilize an economy

10% inflation is economic stagnation, something along the lines of stagflation

By contrast, 10% deflation is the Great Depression

>>1612099
It's pretty variable. He's been all over the place on interest rates- he said he's a low interest guy but has also said stuff that promises higher interest rates. Hiking rates would be a bad idea right now, he should keep them low until his tax cuts and deregulation allow for an increase in economic growth.

His infrastructure spending could cause temporary inflation, but again it depends on how much spending the Republican Congress will approve.

Before anyone calls me a cuck I'm a Trump supporter

>>1613416
If you're trying to cash in on inflation, why not try Currency ETFs? If you're betting on higher inflation, you should buy an inverse Currency ETF for the Euro and if you're betting on lower inflation/deflation, buy a Currency ETF (betting the currency goes up).

If you have the skills, you could start trading Forex but that requires practice and more software if I am familiar. Check out babypips for Forex stuff (currency trading, pretty much).

It's going to be a massacre. No, a holocaust. Interest rates are going to skyrocket. They will blow past 3% very soon.

leveraged bond funds have to unwind all their positions. Governments the world over are strapped for cash and the dollar is rising, so they can't afford to buy our debt and worry the dollar will fall in the future. Banks will start to do leveraged shorts on the interest rates. They haven't even started to do that yet. And the average investor is sitting on a time bomb of trillions of fixed income securities which they will have to unwind as well.

Think of how high they'd have to go to their mom and dad's attention?

Congress is divided and cannot pass any legislation to stop interest rates going up.

>>1614687
Why will interest rates jack up?

>>1614768
Interest rates go up when the market is unwilling to buy current yields. There isn't automatically a buyer at any given yield. Bonds are going to get crushed.