For ordinary countries, a large number of money printing will lead to inflation, but the United States is not afraid.
Just looking at this practice, we can see that soaring prices have pushed many Americans to the edge of despair.
The Federal Reserve “printing money indefinitely” and the US government continue to launch the infrastructure stimulus plan.
After all, the U.S.
Wall Street expects the index to rise by 0.7%, which may mean that US inflation will rise by 6.7% year-on-year.
If the CPI released by the United States tonight approaches or even exceeds 7%, it means that the inflation crisis nearly 40 years ago is likely to happen again in the United States.
This beggar thy neighbor approach has indeed enabled the United States to successfully tide over the 2008 financial crisis.
Before that, many countries such as Brazil, Turkey and Russia also faced this dilemma because the United States passed on the crisis.
From this point of view, the United States can no longer wait.
At this time 40 years ago, Americans who were angry because of hyperinflation tried to attack the Federal Reserve and threatened to take its relevant members hostage.
economy, if the Federal Reserve really decides to accelerate the withdrawal, the country’s economic recovery is bound to have an impact.
Why do you think inflation can not be passed on to other countries this time? Text | Lu Shuoyi Title | Huang Zijia trial | Lu Shuoyi [disclaimer]:.
Although inflation is also passed on to other countries, the country is also suffering from inflation.
If you don’t hurry to save yourself, no one knows whether the Fed will be attacked again.
Tonight (the 10th), the United States will announce the CPI in November, which is the most classic indicator to measure the price level of various countries.
Because the US dollar is the world currency, they print money to save the economy, but ultimately all countries around the world should share the resulting inflation.
If it exceeds this target, it means that interest rates need to be raised.
How terrible is the 6.7% inflation level for the United States? Generally speaking, the Fed’s target for inflation is 2%.
The so-called double expansion is the scene we have seen over the past year.
Therefore, the CPI of running into the “7 era” is too high for both developed and developing countries.
This is really a good reincarnation of heaven.
The United States, which has tasted the sweetness, regards this practice as a panacea.
Capitol just suffered at the beginning of this year.
Everything is booming.
Now, the market speculates that the Fed will accelerate its action to tighten monetary policy to curb inflation.
Heaven spared who.
When the epidemic struck in 2020, the first thing the United States thought of was not to control the epidemic, but that the economy could not collapse, so it began the road of “double expansion”.
Unexpectedly, the “flood washed the Dragon King Temple”.
Now, the United States is wantonly releasing water.
For China, the “red line” of CPI in recent years is also set between 3% – 3.5%.
Can this really save the American economy? In a short period of time, the US GDP has indeed entered the recovery track, and the US stock market has constantly hit new highs.
Over the years, the United States has relied on its US dollar hegemony to print money and release water on a large scale whenever the economy is in recession.
The consequences of American money printing have finally come.
Before the data were released, analysts also had their own forecasts.
In that case, any questions? Yes, the United States is playing big this time.
Statistics show that the last time the US CPI exceeded 7% was in 1982, when the US economy was in a large-scale recession.
Here is another episode.
For the U.S.
Now it is finally the turn of the United States.
The Federal Reserve will announce its interest rate decision next Thursday, and it is likely to announce to accelerate the withdrawal of economic support at that time.