Speaking of losing it, The Federal Reserve announced another 0.25% increase in the bank rate to 5.50% from 5.25%. This will be the last for now, as they analyze the data from here. The Fed acknowledges, there will be pain as they try to approach the 2% inflation target.

Meanwhile, justifying the increase with the recent positive employment results, might not be reflecting the correct economic reality. The cost of living has gone through the roof. Many, especially the elderly in America are hooked on prescription drugs. Food as medicine is not preached because Big Pharma can’t profit. Therefore, with costs escalating exponentially and people’s wages not keeping in line, a majority of people might be looking for secondary employment to support their lifestyle.

Taking on a second job becomes the norm, whereby people need extra income to meet their debt obligations. In reality, life becomes more stressful for those drowning in debt by living beyond their means. In fact, people live to work rather than work to live. Not all people are cut from the same cloth or come from stable situations. Especially, people living within cities have become so accustomed to convenience that if you ask them where chicken comes from, they would respond from the local supermarket. Most are clueless about the processes it takes to bring food and goods to the table.

Today, it’s all about convenience, a four-day work week, leisure vacations and dreaming about the tomorrow that may never come in retirement. We are sold a dream that is unattainable for the majority and for those that can afford it, usually the friend or acquaintance is riding their coattails. Consequently, envy and jealousy ferment into nastiness as friendships dissolve very quickly.  Misinterpretations might result from an individual’s true intentions. 

Canadians are the testing ground for the push to bankruptcy. I have mentioned many a time in previous writings that Inflation will not go away until governments curb spending. They cannot continue to print money without consequences.

Recently, you may have received an HST rebate, Climate Change refund and other government subsidies designed to bribe or substantiate that they are doing something positive in our daily lives. Evidently, they are robbing Peter to pay Paul giving voters an illusion while the fraud is being perpetrated. Click below and listen to a money expert confirm what I have been saying all along;

https://www.instagram.com/reel/CvF10g5gCW8/?igshid=MTc4MmM1YmI2Ng==

Even though the Federal Reserve looks like it will halt interest rate increase the USD Index climbs back toward the 102.0 level. Yesterday, the USD Index dropped overnight to the (100.50) vicinity on the assumption rates will not rise further.

This morning, the turn in USD strength is a result of GDP rising substantially higher than expectations. Q2 GDP was 2.4% expected (1.8%) vs Q1 (2%). All seems rosy but let’s call a spade a spade and realize the results could be heavily skewed from the actual reality due to the explanation presented above.

The USD should continue to stumble, this short-term strength is keeping currencies from advancing. Meanwhile, Precious Metals drop substantially as Gold sits around the $1940USD/oz range from recent ($1980USD/oz). While Silver slips toward $24 USD/oz from nearly $25/oz. On the other hand, despite Oil testing $80/barrel the Canadian dollar remains below the $0.76 cents level.  The Canadian dollar should improve, always be cognizant of the fact that every dog has its day. Look to buy on the dips when presented.