There is an ongoing debate in many online economic circles that the great Covid inflation inspired by the Federal Reserve and Trump-Biden-Trump trifecta of irresponsible fiscal policy is coming to an end. The reality?
We’re going to print this nation into oblivion and there is not one damned thing the average American citizen can do about it.
Now that this bit of depressing news has been established, let us dissect why Dr. Copper is not confirming a deflationary recession, or at least not yet.
So what just is Dr. Copper telling the world about the American economy?
If one was to base their decision on the chart from October of this year, normally a very decisive month for market direction in the following year, one would say “undecided” and that would be the correct call.
Everything about Dr. Copper screams stagflation if one analyzes a year to date chart.
Thus what does this mean for gold?
If this forecast is validate by Dr. Copper it means the American economy remains in a stagflationary scenario where profits (rightfully) will be taken in the precious metals and towards year end another rally will occur in preparation for the instability of 2026.
In the mean time, enjoy the show as equity, bond, and commodity markets are about to go full schizophrenic in the next week or so ahead until December 12th.
There appears to be a very unfortunate economic and market pattern developing which these pages will cover further in the days ahead.