Business

Interested in precious metals investing? Email us HERE 

Gold, Liberty, and the War on Cash

Written by Jeff Nielson (CLICK HERE FOR ORIGINAL)

March rate hike odds are unchanged (below 40%) and the yield curve has flattened since The Fed's February statement (despite heavy jawboning and higher inflation data) and so the Minutes were expected to help ease the markets to not be surprised. And they were...MANY FED OFFICIALS SAW HIKE `FAIRLY SOON' IF ECONOMY ON TRACK. However, the Minutes also showed 'balance' by not proclaiming concern over inflation - *MANY FED VOTERS SAW ONLY MODEST RISK OF SIGNIFICANT INFLATION and FED OFFICIALS SAW DOWNSIDE RISKS FROM FURTHER DOLLAR STRENGTH.

When Philadelphia became the first US city to pass a soda tax last summer, city officials were eagerly looking forward to the surplus-tax funded windfall to plug gaping budget deficits (and, since this is Philadelphia, the occasional embezzlement scheme). Then, one month ago, after the tax went into effect on January 1st we showed the tax applied in practice: a receipt for a 10 pack of flavored water carried a 51% beverage tax. And since  PA has a sales tax of 6% and Philly already charges another 2%, the total sales tax was 8%.

Seemingly reassuring conservatives, especially his fiscally hawkish former Tea-Party member Budget Director, President Trump warned that America's "[spending] was out of control," as officials gathered to discuss the budget, adding that there is "enormous work to do on the national debt."

While stocks did not blink, Trump's comments definitely angled more fiscal hawk than free-spending deficit dove.