2022/09/20 (073) Column

„Everything Is Blamed
For The High Inflation!
Now 3 D’s Also?“


Everything is blamed for the high inflation in our so-called West. Just not the expansionary monetary policy of incompetent central bankers. And/or much more rather the expansive fiscal policy of money-hungry, power-hungry politicians who not only pull the money out of the pockets of your citizens, who should represent you, with taxes they don’t need. Rather, it seems like they also have a pleasure in restricting your self-determined life more and more in a formal, legally, and legally legitimized way, under the cover of a liberal democracy. Which is why, since the summer of this year 2022, I have been getting more and more reading from my dear colleagues that the 3 D’s are now mainly responsible for the high inflation figures in our so-called West. In other words, demographics, deglobalization and/or decarbonization.

The three “D’s” are quickly explained.
Demographics are a problem because the population in our so-called West, in other words in our western industrialized nations, is said to be getting older on average. Deglobalization, because in our so-called West, that means we have to produce ourselves again. And the decarbonization can only be traced back to a left-wing green social-democratic german ideology that tries to formally and legally deny foreign energy suppliers the right to exist. And, due to the communication possibilities of the Internet, we are now jeopardizing the entire prosperity of our so-called West, which our conservative liberal political parents organized more or less capitalistically. And that’s just because of their paranoia about a promised imminent Armageddon. Like probably back then in the GDR, in the former Yugoslavia, and or also the Soviet Union. Don’t think of wanting to live like the capitalists of the so-called West who live in abundance. They are not sane, peaceful, confident, and free. Say goodbye to the idea of monetary material abundance. That`s the way i am afraid of! You too? “We scored an own goal out of fear of conceding a goal!”, if I, as a German Croat, may use a football metaphor. To aptly describe the current economic situation of our liberal green social democratic federal government in my beloved home country. And it doesn’t reassure me that we, in my home country, are still on average better off in monetary terms than other people in our euro zone. Let alone US Americans under Sleepy Joe and his US Democrats! Who even have oil under the ground of their fatherland, homeland. So can politicly stop, if they want, this destructive green energy policy that threatens to fail in an American Marxisms, as Mark Levin aptly described us in his last book.

But what matters to me is not pointing fingers at central bankers, let alone politicians.
Rather, to remind us all that we are not at the mercy of inflation. That inflation, in our so-called West, was not thrown by extraterrestrial beings like an Armageddon, let alone deep impact. And also China, the Chinese are not to blame! On the contrary, they`re looking at our political tragedy in our so-called West with the most polite reserve. Take care of theirselfs. Take care of China. And are growing and growing and growing. And that healthy, peaceful, confident and free; in a monetary material prosperity like never before. And that`s why the cause of inflation in our so-called West, above all US inflation, can be found in a dovish, expansive FED monetary policy, and/or also dovish, expansive US fiscal policy. Which originated in the reaction to the 2008 Lehman Brothers disaster. And has nothing to do with China! Has nothing to do with any Chinese! Only in the imagination of the informers; and those around who are believing in it. No magic! No magic! No conspiracy! No foreign powers! All of this can only be traced back to the positively successful and negatively unsuccessful national monetary policy and/or fiscal policy. So to a profitable future, from state leaders, companies, and/or private individuals. To a profitable future where you can absolutely rely on the word of your counterpart, my readers. And that independently of the 3 D’s. That’s what I mean by conservative freedom-loving…

DEVISE 2 DAY 48h – Some Last Price Action News

Wall Street Closes Lower As Tightening Worries Persist
The Dow lost almost 300 points on Tuesday, and the S&P 500 and Nasdaq dropped 1.1% and 0.8%, respectively,as tightening financial conditions and growth concerns have been a mounting headwind for equities. The Federal Reserve will almost certainly hike the key interest rate by 75 bps, with money markets now pricing a 16% chance of a jumbo, 100 bps increase. On the corporate side, Ford tumbled over 10% after warning that supply chain issues would cost the company an additional $1 billion in the third quarter. Meanwhile, Treasury yields continued to march higher to hit fresh multi-year highs, putting further pressure on technology and other growth-related stocks.

MOEX Plunges 9% On Tuesday
The MOEX Russia Index plunged nearly 9% to close at a one-month low of 2,215 on Tuesday, the sharpest decline since February, following news that Moscow is moving to annex Ukrainian territory and new measures to cover Russia’s looming budget deficit. The breakaway Donetsk and Luhansk Republics and parts of Kherson under Russian control are set to hold referendums to become a part of Russia. In the meantime, the Kremlin wants to collect over RUB 3 trillion to cover for its expected budget deficit, with higher taxes and duties on energy exports set to raise RUB 1.4 trillion for next year’s gap. Consequently, the heavy-weighing energy stocks tanked 8% on average, with Gazprom falling 11% amid the possibility of steep taxes being charged on record-setting profits this year. Budget data from August pointed to an uncharacteristic and wide deficit, as cheaper energy and a pullback in export volumes to Europe hit the country’s revenues.

FTSE 100 Falls for Second Day
Equities in London dropped for a second consecutive session on Tuesday, with the blue-chip FTSE 100 bottoming below the 7,200 level, dragged by real estate stocks. Sentiment remained dominated by worries that an aggressive tightening from major central to tame sky-high inflation will not achieve a soft landing, instead causing a recession. The Federal Reserve will likely announce a third straight 75 basis point rate increase on Wednesday, while the Bank of England is expected to deliver a 50 or 75 basis point rate hike on Thursday to tame inflation. Ocado Group was the worst performer, falling more than 9%, followed by Admiral Group, down over 5%.DEVISE 2 DAY Another 48 Hours – Where I Was Wrong, Whre I Was Right

On Monday we closed our 5 open 4XSetUps with a lost. Like our MSFT long trading capability (from 03/07/2022) with a lost of 41.26 $ (last price 244.74 $ as we went long at 285 $) at once. Our GBPJPY long trading capability (from last monday 09/12/2022) with a lost of 2.04 GBPJPY (last price 163.21 GBPJPY as we went long at 165.25 GBPJPY). Our VOW3 long trading capability (from last tuesday 09/13/2022) with a lost of 6.54 € (last price 145.46 € as we went long at 152.00 €). Like our LVMH long trading capability (from last wednesday 09/14/2022) with a lost of 12.4 € (last price 637.5 € as we went long at 649.9 €). And/Or last but not least also our GS long trading capability (from last thursday 09/15/2022) with a lost of 1.05 $ (last price 326.21 $ as we went long at 327.26 $). So we`re only long in the YM1!, in the DXY and/or short in the UKOIL this week. But in these two open trading capabilities at least with still an existing booking profit currently.

However, this week’s focus is on the Fed meeting. And or that of the BOE after it was moved due to the death of Queen Elizabeth. Therefore, I focus daily on the YM1! in the Technical Analysis 4XSetUps. Also in DXY and/or UKOIL if something extraordinary happens. But the fight about 30.000 in YM1! has top top priority…