European Inflation is Insane

Giuseppe Mediano needs these sanctions like a hole in the head. Were you forwarded this email? [Sign-up to Rude Awakening here.]( [Unsubscribe]( [The Rude Awakening] European Inflation is Insane - Europe’s colossal energy price increase is unsustainable. - Energy prices have nearly doubled in Italy. - Political consequences are coming. Recommended Link [***WARNING: TAKE ACTION BY Midnight APRIL 7TH***]( [Click here for more...]( The following [investing secret]( was filmed on private property. It’s for this reason… We ask you NOT to distribute or forward the materials contained within. Let me be perfectly clear... This is for your eyes only. [Go Here ASAP]( Sean Ring Editor, Rude Awakening By the time you read this, I will have landed in Turin. We’re on our way to Asti for the week. We’ll use Asti as a base to find more permanent lodgings in Piedmont. Rome was impressive; its architecture, sites, and culture are beyond compare. And my goodness, did we pay for it! You don’t need a financial advisor for Europe. You need a proctologist. I usually would do this, but here’s a picture of my exam: As Micah would say, “Ouchy!” Still, it’s our first vacation in years. So I’m using that as my excuse for spending so much moolah in so little time. However, I just don’t know how people do it here. There’s simply no way an ordinary family with ordinary incomes can survive this economic onslaught. This is why I think Europe is going the wrong way with Russia. It needs to cut a deal quickly, or the pain will be unbearable… and there will be repercussions. In this edition of the Rude, we’ll look at stories, numbers, and the political season that has Europe all up in arms. Dinner and Drinks with Neil One of the great things about traveling is reuniting with long-lost friends. Pam’s friend from high school, Neil, has lived in Rome for 12 years. He came over to our Airbnb for dinner and drinks last night. Neil’s a lovely guy, and I felt comfortable asking him pointed questions about living in Italy in general and Rome in particular. He works as a physical therapist and has a wife and three sons. Neil said, “Everything is great here, except the financial situation.” He’s thinking of leaving Italy and heading to Florida. Frying pan to fire, methinks. But at least he’s thinking about the best state to live in in America right now. No matter what sacrifices politicians call on one to make, families will flee if they can when the burden is too much. And when those sacrifices extend to young unemployed men, they lead to revolution. To demonstrate what I mean about rising costs, let me show you some stats. European Inflation Eurostat is a handy website for all things economic in Europe. Have a look at this chart, which shows the Euro area’s annual inflation. (By [Euro area or the Eurozone]( I mean the 19 countries that use the euro as their currency.) Source: [Eurostat]( Euro area annual inflation is expected to be 7.5% in March 2022, up from 5.9% in February 2022. That’s the thick magenta line on the chart. The thin red line that’s running away is the energy costs. And you need energy to do anything. Next, let’s look at the sheer horror of European gas prices. Recommended Link [Trump’s Final Gift To America]( [Click here for more...]( There’s a little-known way Trump could – one day – have his revenge. It involves a Federal Ruling he oversaw in the final year of his Presidency that could change America forever… unleash an estimated $15.1 trillion in new wealth… and create countless ways for everyday Americans to benefit. What is this little understood decision? And how will it impact you? [All the important facts are here.]( [Click Here To Learn More]( My paisano Mark Rossano gave me this chart. All I can say is thank heavens people learned how to work from home. There’s no way to afford the commute anymore. Source: Mark Rossano via Bloomberg Pam, Micah, and I walked past a gas station in Rome. I can confirm the price was EUR 1.95 per liter. As a gallon is roughly 3.79 liters and the EURUSD is trading at approximately 1.09, it is equivalent to $8.06 per gallon. If you have a big car with a 16-gallon tank, that’s $128.89 to fill it up. It’s absolutely eyewatering. I remember filling up my gas tank in New Jersey for $20. Boy, don’t you miss those days? Making matters worse, here’s [Italy’s National Institute of Statistics]( (bolds mine): According to preliminary estimates, in March 2022 the rate of change of the Italian consumer price index for the whole nation (NIC) was +1.2% on monthly basis and +6.7% on annual basis (from +5.7% in February). The speed-up of the growth on an annual basis of the All-item index was mainly due to the prices of Energy (from +45.9% in February to +52.9%), especially of those of Non-regulated energy products (from +31.3% to +38.7%), whereas those of Regulated energy products confirmed their huge increase (+94.6%). There’s no way politicians who’ve created this mess will escape unscathed. We know the [Democrats in the States are already trying to “exit” Biden](. But what about Europe’s political landscape? Election Season Serbia Serbian President Aleksandar Vučić was elected for a second term in the past Sunday’s election, with a lopsided victory of 58%. His nearest challenger Zdravko Ponoš mustering only 18%. However, Vučić’s Serbian Progressive Party (SNS) lost its majority in both the National Assembly of Serbia and the capital of Belgrade. It will be forced to enter into coalitions with smaller parties. The press describes Vučić as right-wing and populist. He doesn’t want to rock the boat with Russia, and the two nations remain on good terms. Hungary Viktor Orban cruised to yet another election victory this past Sunday. He also has been described as right-wing and populist. During his victory speech, Orban said, “We won a victory so big that you can see it from the moon, and you can certainly see it from Brussels.” He’s towed the European Union’s line with Moscow because "unity is important" but said extending sanctions to include the oil and gas sectors is "a red line.” France And now, for the biggest prize of all, if she can get it. Marine Le Pen, daughter of Front National founder Jean-Marie Le Pen, is once again going toe-to-toe with Emmanuel Macron for France’s presidency. Le Pen has been described as far-right and populist. (Noticing a theme here?) Though she lost the last election to Macron, she has better than a sporting chance to win this time. In fact, she’s peaking at the right time, while Macron is falling a bit: Credit: [Politico]( To be sure, Macron still leads at 27%, while Le Pen is at 22%. I wouldn’t be shocked if Macron won again, but a Le Pen victory would mean even Western Europe is tilting towards the right. That doesn’t happen very often at all. Wrap Up Whether it’s anecdotal, statistical, or political, the evidence continues to pile up against the status quo in Europe. While America will indeed have its reckoning in the November midterms, Europe has already started the trend toward pragmatic politics. If France elects a genuine right-wing leader for the first time in many moons, it’ll represent a seismic shift in Europe’s way of doing business. And I’m sure the pinko Germans will be none-too-pleased about it. But this is the kind of thing that happens when people can’t have their necessities cheaply. Disposable income is down across the board. The people look like they’ve had enough. Will the politicians cave in to their demands - which probably means cutting a deal with Russia - or will they lose their seats instead? That is the question. Until tomorrow. All the best, Sean Ring Editor, Rude Awakening To sign up for the Wiggin Sessions, [click here.]( By clicking this link, you will receive a free subscription to Wiggin Sessions and offers from us and our affiliates that we think might interest you. You can unsubscribe at any time. [Privacy Policy](. [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. To end your Rude Awakening e-mail subscription and associated external offers sent from Rude Awakening, feel free to [unsubscribe](. 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