I am being a bit of a wise guy with the title above. A couple effects of non-stop inflation have popped up in the economy in the form of healthcare and rents.This bolsters the case for the dreaded Fed rate hike in December.
Looking into Treasury yields, which are central to the inflationary economic growth theme, we find…
The Continuum (monthly chart of the 30 year yield) still with plenty of upside before long-term yields are capped at the limiter (AKA the 100 EMA).
And 10 year yields still in a downtrend while 2 year yields march upward.
This configuration is gold-adversarial no matter how much those pumping easy analysis, conspiracy or any other rationalizations deny it.
The bottom line is that the Fed is perceived to be in control and market participants are still orderly and subservient.Right at the moment, anyway.
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