The Establishment is Panicking Like It’s 2016

With inflation officially roaring, DC and Wall Street are soiling themselves Were you forwarded this email? [Sign-up to Rude Awakening here.]( [Unsubscribe]( [The Rude Awakening] The Establishment is Panicking Like It’s 2016 - The Journal ran a bunch of “It’s Not Me!” editorials yesterday. - No, the Establishment doesn’t get a pass from this mess. - The repercussions from this policy screw-up will be global. Recommended Link [Urgent for January 12th 2021]( [The Biggest Market Crash of the last 92 Years?]( [Click here for more...]( January 12th could mark the beginning of the biggest market crash of the last 92 years… Bigger than 2008, 1987, or even 1929. And according to one ex-government insider it all has to do with a number the Biden administration is lying about. Once this number hits the mainstream news it’s game over for America. [Click Here For More Details]( Sean Ring Editor, Rude Awakening “I never tire of being correct,” once uttered Raymond Reddington, the elegant international criminal James Spader plays so perfectly. Since I started writing the Rude last April, I’ve written about this inflation mess in [“Inflation! It’s Inflation! Run For Your Lives!”]( [Why You Should Generally Avoid Commodity ETFs Despite Inflation, Commodity Prices Rising]( [Inflation Trades Taking Off – Corn Follows Lumber and Copper North]( [More Inflation, Cathie Wood’s Ark Gets Hit, Elon’s BTC WTF?]( [In the Eye of the Inflation Storm]( [If Inflation is Transitory, Why is The Fed Signaling a Rate Hike in 2023?]( [Inflation, Tech Stocks, and Beta]( [Inflation Threatens US Debt Payment]( [Do You Need to Sprint to Outrun This Inflation?]( and yesterday’s [We’re Inflating Like a Balloon](. Feel free to read through again, but really, it’s the same story. Except now, the “best and brightest,” “the elites,” and “the establishment” have all caught up with myriad other economists of the Austrian School flavor and me. The Establishment sees red. Sorry, Red. With a capital “R.” They’re not mad. Well, maybe at themselves. But the Red they’re seeing is the tidal wave of republican votes this coming November, overwhelming their progressive plans to terraform the economy into a command-and-control wasteland. Let’s have a look. The Great Communicator’s Ghost Ronald Reagan wasn’t perfect by any means. But he loved America, and America loved him for the most part. As my school years in New Jersey were 1980-1992, I was even fooled into thinking we were all sensible Republicans. Oops. Now Joisey is a blue hole losing tons of people to red states. Just like [New York, Massachusetts, and California](. And [Illinois](. In the final debate against Jimmy Carter on October 28, 1980, [Ronald Reagan asked some easy questions]( in his closing remarks: Next Tuesday is Election Day. Next Tuesday all of you will go to the polls, will stand there in the polling place, and make a decision. I think when you make that decision, it might be well if you would ask yourself, are you better off than you were four years ago? Is it easier for you to go and buy things in the stores than it was four years ago? Is there more or less unemployment in the country than there was four years ago? Is America as respected throughout the world as it was? Do you feel that our security is as safe, that we’re as strong as we were four years ago? And if you answer all of those questions yes, why then, I think your choice is very obvious as to whom you will vote for. If you don’t agree, if you don’t think that this course that we’ve been on for the last four years is what you would like to see us follow for the next four, then I could suggest another choice that you have. This country doesn’t have to be in the shape that it is in. Next November, the Republican Congressional candidates can amend the question to, “Are you better off now than you were two short years ago?” And come November 2024, Donald J. Trump can ask, “Are you better off now than you were four years ago when I was running the show?” To me, it’s almost worth having Trump take a four-year hiatus to extend left-liberal misery all the way out to 2028. Why do I bring this up? The Journal Says “Not It!” Have a look at the current Journal opinion page: Circled in red are the inflation pieces they should’ve printed ages ago. And that doesn’t even include former Fed governor Kevin Warsh’s scathing criticism of the Fed from two days ago titled, “[The Fed Is the Main Inflation Culprit]( Before you file that under “No Shit, Sherlock,” understand that Warsh was a “hard money hawk” at the Fed despite his young age and Ivy League education. Warsh was only 35 when Dubya appointed him in 2006. Though he pissed off former Fed Chairman Ben Bernanke with his persistent warnings about inflation, Warsh was a valuable member of the Fed 2008 crisis team thanks to his Wall Street connections. In 2018, [Warsh gave a talk at the American Enterprise Institute](. I encourage you to read it in its entirety. But this particular passage is worth noting: My overriding concern about continued QE, then and now, involves the misallocations of capital in the economy and the misallocation of responsibility in our government. Misallocations seldom operate under their own name. They choose other names to hide behind. They tend to linger for years in plain sight. Until they emerge with force at the most inauspicious of times and do unexpected harm to the economy. The “seen” versus the “unseen,” just like Bastiat said. Warsh doesn’t call misallocations “malinvestments” as the great Mises would, but that’s the underlying message. When a central bank distorts the price mechanism that markets provide, entrepreneurs and businessmen invest capital in the incorrect places. And when interest rates are at zero, there’s no penalty for being wrong. You can just roll over your loans at zero cost. It genuinely is clown world. Recommended Link [1992 Book Reveals: The Next Big Tech Obsession]( [Click here for more...]( Silicon Valley insiders have spent the last 30 years passing a “secret playbook” around their inner circles. This “secret playbook” ([which I reveal right here]( has pointed the world’s biggest tech moguls to major breakthroughs that have helped disrupt entire industries... Now, for the first time ever, tech billionaires are set to reveal the “final chapter” of this mysterious book. And I’ve secured you special access to a full rundown of this little-known breakthrough. [See The Full Story Here]( What’s Next? For you, I hope you’re still invested in those assets I’ve mentioned before. Stocks still have more room to run. Bitcoin and other cryptocurrencies like Ethereum are good bets. And I’m starting to come around to Jim Rickards’ gold idea. He thinks gold will hit $14,000 in the next few years. But here’s the thing: even if it only goes to $4,000, even if he’s $10,000 off in his prediction, you still will have doubled your money. Why now? Because I’m pretty sure the charts won’t show it, but there’s a good chance the government “decrees” gold a higher price. FDR did it in 1934 with the [Gold Reserve Act]( so there’s precedent. Section 2 of the act transferred ownership of all monetary gold in the United States to the US Treasury. Monetary gold included all coins and bullion held by individuals and institutions, including the Federal Reserve. In return, individuals and institutions received currency at a rate of $35 per ounce of gold. This rate reduced the gold value of the dollar to 59 percent of the value set by the Gold Act of 1900, which equaled $20.67 per ounce. That rate had prevailed until the spring of 1933, when the Roosevelt administration began its campaign to devalue the dollar. Again, it won’t show up in the charts. It’ll just happen. After all, gold is portfolio and purchasing power insurance. Owning some now may be a bright idea. Until tomorrow. All the best, Sean Ring Editor, Rude Awakening [Whitelist Us]( | [Archive]( | [Privacy Policy]( | [Unsubscribe]( Rude Awakening is committed to protecting and respecting your privacy. We do not rent or share your email address. By submitting your email address, you consent to Paradigm Press delivering daily email issues and advertisements. 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