One of my other favorite axioms is that bull markets (or "bubbles," if you please) top out when the news is good, not when everything is already going to hell. Because when the news is good is when central banks pull the punchbowl. They look at the data and see the evidence of asset inflation and dangerous bubbles across many asset classes. And they finally say, "OK, I think you've had enough!"
Here's Why Bogus CPI Data Won't Slow Fed Tightening
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David Stockman’s Contra Corner isn’t your typical financial tipsheet. Instead it’s an ongoing dialogue about what’s really happening in the markets… the economy… and governments… so you can understand the world around you and make better decisions for yourself.
David believes the world -- certainly the United States -- is at a great inflection point in human history. The massive credit inflation of the last three decades has reached its apogee and is now going to splatter spectacularly.
This will have lasting ramifications on how governments tax and regulate you… the type of work you and your family members will have available and what you get paid… the value of your nest egg… and all other areas comprising your quality of life.