And then most recently the University Michigan consumer sentiment. It was estimated between to
be between seventy seven and seventy nine, and you know it was it was
just below sixty eight. I think it was sixty seven point six. I
can't remember what the actual number was, but you know, people are feeling
it. I mean, this is that the silent recession that we're talking about,
and no one wants to talk about it, but this is really stagflation.
We're seeing continued economic slowdown, We're seeing inflation going up, and we
just talked about the jobs numbers. You were listening to, Carrie. Let'sa's
financial survival Network where you get valuable information. You just can't find anywhere else
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than ever. Go to Financial Survivalnetwork dot com and get your free newsletter and
gift. Financial Survival Network now more than ever. And welcome you are listening
to and watching the Financial Survival Network. I'm your most Carrie Lutz. I'm
with fellow expert Ed Siddell and Ed and I are going to be talking about
well the economy, about the latest producer price inflation that evidently ed people were
shocked about it. I mean, I'm shocked, lit is shocked. You
know, that's the only thing I'm shocked about. And I guess ed what
they're shocked about with the producer price numbers is the fact that it's an election
year and they actually put out negative numbers. I mean, that's not supposed
to happen, is it. You know what they're they're controlling everything else well,
you know, I mean as far as the numbers that they want.
I was surprised that they couldn't manipulate these to get them in line with what
they wanted, because we know the PPI numbers are probably worse than what they
actually are, just like the twenty twenty three JOMPS numbers. You know that
that revision came out. We were just talking about it last came out a
couple of weeks ago, and it was actually negative, not positive. Even
though did you see the interview with oh Biden, I can't think of who
the gosh, I can't think of who he did the interview with. I
can't think of her name. Oh so that was what's her name? Where
he said, daddy, what's inflation? And basically but don't worry about it,
you know there, Well, you know, the good thing is he
did create fifteen million new jobs. And you know another yeah, and inflation
was over nine percent when he took over, and you know, so he's
he's fixed to everything. So we're all good. We can all go home
and rest easy and sleep good time. I'm feeling better already talking to you.
Thank you for that. But you know, like, let's face it,
the economy is a really in bad shape and all they can do is
not come up with solutions, just try to gaslight you right, and and
spending more money. You know, the new the new tax proposal with they
just lowered it again. But now the corporate tax rate higher than what it
is now that the capital long term capital gains rate go from twenty two to
basically almost forty five percent I'm sorry, twenty percent to almost forty five percent.
You know, it's in you know, there's an issue when tax revenues
are at an all time high and we still don't have enough money. I
mean, it's one's like it's a spending problem. It's a leadership problem.
We just don't have the leadership. So publican democrats, everyone has their hand
in the til trying to spend our money. Everyone's stealing. Hey, it's
what they call in the military, management without leadership, Right, yes,
go do this, But the general has no idea what's involved in doing this.
He just tells the troops to do it, and they grumble and they
do it. Nobody's happy. Whereas if the general says, let's go do
this, goes off to the trenches with the troops, it's a whole different
way, right, yeah, And I think that's what was so disturbing,
you know, for lack of a better term, when during the interview,
when they were actually with Biden, they were actually sharing the economic numbers,
he actually looked surprised. Yeah, you know, and then he said,
we're all good and we're spending money. Any poll ask money, right,
Yeah, we all have money, so it doesn't matter. Yeah right,
Yeah, that was a CNN interview. Oh that was their name, Aaron
Burnett. That's right, yep, yep. Like I don't want to cast
aspersions upon our commander in chief's mental acuity. Others have examined that topic enough,
but talk about detachment. Remember in the election when Busch Senior was running
for re election and I went to a supermarket and he saw scanners for the
first time, and he couldn't believe that you could scan groceries and bring up
prices. And you know, this was a like a defining moment of his
detached residency that he didn't really know appreciate what people were going through. Oh
yeah, well the same thing. Do you remember during that same he was
around the same time they asked him, you know, what a gallon of
milk was, and it was so long ago I can't remember, but it
was a fraction of the cost of what a really of the real cost in
the grocery store, you know, just and that's where he is right now,
Biden, He's on that same path. Not like we're shocked about it,
but you know, the fact that it's it's being finally revealed by you
know, mainstream not covering up anymore, right, right, Chah. You
know, it's like, ask him how much a court of almond milk costs?
See if he has a clue, right, I guarantee he doesn't know
how much eggs are. They're like and whole foods at like six to ten
bucks a dozen, you know, isn't that crazy? Almost a dollar?
I mean it's nuts, and it's still a good deal compared to other food
types. But but we had numbers to talk about here at yeah, sem
numbers. I mean everything is sinking here well, you know. I mean,
so I'm gonna be looking down on my notes because I can't. There's
so many numbers that have are way off the mark. I mean, you
know the ISM numbers, you know they're expected to be around fifty two,
and they were forty nine point two. I mean taught that would be talk
about a contraction. I mean, that's that's huge. Now that the pm
I numbers that came out a couple of weeks ago, you know, they
the range was forty three point two to forty five and they crash to thirty
nine point four. They were below forty. You know, consumer confidence that
was for last month it was one oh four. It was supposed to be
between one oh four and it dropped all the way down to ninety seven.
And then most recently, the University Michigan consumer sentiment it was estimated between to
be between seventy seven and seventy nine, and you know it was it was
just below sixty eight. I think it was sixty seven point six. I
can't remember what the actual number was, but you know, people are feeling
it. I mean, this is that the silent recession that we're talking about,
and no one wants to talk about it, but this is really stagflation.
We're seeing continued economic slowdown. We're seeing inflation going up. And we
just talked about the jobs numbers. You know, employment is way higher than
what they're reporting. So you know, this has all the year marks of
the last year of Jimmy Carter. So the question is, you know what
kind of memory you know, as a voting pipelist are we going to have
in November? You know, if gas prices get a little bit lower,
which I think they will, I think the Feds are going to wind up
dropping interest rates. I think they're going to do another round of quantity of
easing, first loosen up the credit and then lower rates maybe once and make
everything rosy before the election. So will we remember you know, the previous
three years? Good question. And of course the mood of the country is
really bad, and so what's going to be is are we looking at a
change of regime come come January? You know what that is a great question.
You don't what I don't know, yeah, there's you know, I
was expecting it last time, and I and I was shocked now to have
so many votes uh, you know up here in the last you know,
a couple hours. But come on, and that was the most honest election
that we've had in the history of the country. It's going back to George
Washington, isn't it. Well, you're right, you're right, you got
me, you got me. Sorry, I don't need the ginn, I
guess. Yeah, So I think we need to. I think we're going
to have better luck in the Senate instead of the House. But we can't
just you know, have an administration change. I think we we need to
make sure that we you know, significantly significantly regain the Senate. I don't
think we have a chance in the House the way that it's been run so
far or not we're run. But then again, what's the what's the alternative?
Yeah, well, we don't like to get into politics here because this
is a you know, this is a family show here, and we not
really fit for for the tender ones consumption, you know. But well,
and and when you think about the impact that it has on the economy,
when when we're we're sending more money overseas in these spending bills than you know,
taking care of our own population here, whether it's from Palestine, Ohio,
round in Hawaii. You know, these these these from the wildfires to
the train incident. You know, people are still suffering here, and we
just keep spending and spending and spending. And I think that obviously that's inflationary.
A lot of the real jobs that were added last year, we're all
government jobs. That's inflationary. And you know, you cannot spend the way
that we're spending and not expect the economy to falter. And that's really what
we're seeing right now. But it's people are starting to resonate with the paint
all the way across the board. All right, So what do you do
here? How do you protect your wealth? Inflation, like they report said,
is stickier than thought. I mean, where do did these people ever
pick up a book before and look at the sixties and seventies and eighties and
look at the World War two inflation and World War One inflation. It doesn't
you know, just snap your fingers and raise some rates and it goes away.
It's like almost generational here. It is. It is, And and
you know to that point. Uh, what unnerves me is typically when we
get inflation, that's you know, to use the catchphrase in which you just
use sticky as as it is. You know, normally we go to war
to to kind of wipe away the debt and and everything else. And I
and I hope that doesn't happen. You know. For me, I still
like hard assets, I really do. Here's what I think is going to
happen between now. We we have a window between now and the election,
okay, and it's it's narrowing, you know. I I think we're going
to see a ton of volatility in the market. I think it's going to
remain positive. I need based on what I said before, with the Feds,
you know, probably doing a little bit more easing and then lowering rates.
The market's going to wake up a little bit, but it's going to
be short lived, you know. As a storage value, I still like
gold and silver. I think silver is probably the best buy. But you
know, and honestly, if we look at commodities as a whole, you
know, that's that's uh, I think gonna be for people to the best
bet. I'm not a big fan of gross stocks right now. I think
that they're going to be overvalued. You know, value is where it is
if you're going to go that route. But I mean, you've got to
be positioned, you know, when you got to have enough on the sidelines
to take advantage of, you know, of a of a correction or something
significantly bigger which people are talking about, and be able to buy things relatively
cheap. Hey, but always remember that economists have successfully called five out of
the last two recessions, right, yes, right, because there are bigger
things happening, right yeah. And you know then than what what the news
says. You know, uh oh, absolutely, the money flowing in from
China flight capital as they cracked down and reverse their loosening, their economic opening
up. And then the europe Bank's not doing well there. Although one interesting
ray of bright light is Portugal. They were one of the pigs, they
were the p and the pigs nations. The ims IMF went in there and
made them clean up their act and they've actually saw their debt decline as a
percentage of GDP last year. Well did they really? Yeah? Yeah,
so I guess I guess we should be happy. Well, at least someone's
doing something right, and you know, and you brought up about the banks.
That's the other thing, right, I mean, right now we're seeing
we're starting to see more bank failures in that the other shoe hasn't even dropped
yet. I mean, a lot of these commercial loans aren't coming due.
So I think we're going to see more struggles than what that people what people
are really starting to anticipate, even though everyone feels something on the horizon,
I don't think they're expecting what's really going to hit us. Yeah, well,
we know these banks, especially the regionals, are in a precarious state,
and that alone means that they're going to have to cut rates where they'll
be bailing out the one hundred and fifty two hundred and fifty banks. I
mean, what do you think the odds are that twenty twenty four is the
year of the bank run. It would not surprise me. They may be
able to stave it off a little bit, you know, through the end
of the year, but if it's not the end of the year, I
think twenty twenty five is going to be a banner year, unfortunately, and
not in a good way for you know, regional banks. You know,
in some of the local banks I think they're going to get crushed. They've
got a lot of bad loans, a lot of bad debt on their books
that are overvalued, and they're just not going to be able to recover and
you know, having to refinance that you know, six seven, eight nine
percent that people just they can't do it. So they're going to have to
lower rates, which goes right to inflation and all the other issues. Yeah,
you know, it's it's really kind of shocking what's going on out there.
But hey, hopefully there'll be a brighter tomorrow, one of these tomorrow's.
ED, just tell us where do we find you? How do we
connect with you on the web. Yeah, you can reach us at egsifinancial
dot com. All right, Hey got a question for ED and myself KL
at Carrie LUTs dot com. Is the email addressed to use. And if
you go to the show notes on Financial Survival Network on our website for this
interview, you will get a link right to ED site. And while you're
there, please sign up for your free newsletter ED. Always a pleasure.
We'll talk to you about all right. Thanks for having me, Kerry,
Thanks for listening to Carrie Letz's Financial Survival Network your solution to today's trying times.
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