Introduction: Today’s inflation report came in at 8.5% which was slightly below the 8.7% that the market expected. The thinking is that now that inflation has come down from the 9.1% from last month and was below the expected number, we’re closer to Federal Reserve rate cuts and that’s why the market was up today. … Read more
We have warned, and warned and warned that the design of the anti-Russian sanctions are impairing the value of the dollar as the world’s reserve currency. In particular, we have been concerned about the status of the petrodollar. The US made a deal with Saudi Arabia in the 1970s where in exchange for the US … Read more
Great guest post today from DKI Board of Advisors member Howard Freedland. He’s been working in the residential and commercial real estate space in the ultra-hot West Palm Beach, FL market. That market has seen some of the biggest excesses of the Covid-real estate era, and as we predicted several months ago, it’s all starting … Read more
Introduction: One of the best parts of running Deep Knowledge Investing is my interactions with the Board of Advisors. It’s a remarkable group of people with a wide range of high-level specific expertise. DKI is set up to foster discussion and debate on all issues, and even college interns are encouraged to advocate for their … Read more
Today, the US Bureau of Economic Analysis (BEA) announced 2Q GDP that was down .9%. It’s not a big number, but it is a negative one, and that, combined with negative GDP growth in the first quarter means the US is officially in a recession. Washington D.C. politicians, political operatives, media allies, and the White … Read more
Last month, the Federal Reserve raised the fed funds rate by 75 basis points (.75%) which was the largest rate increase in nearly three decades. Today, they did it again and raised another 75 basis points. The market was already up on Google and Microsoft results that while below estimates, weren’t as bad as feared. … Read more
‘When I use a word,’ Humpty Dumpty said in rather a scornful tone, ‘it means just what I choose it to mean—neither more nor less.’ ‘The question is,’ said Alice, ‘whether you can make words mean so many different things.’ ‘The question is,’ said Humpty Dumpty, ‘which is to be master—that’s all.’ Alice’s Adventures in Wonderland is one of … Read more
Overview: Contemplations on the Tree of Woe wrote Running on Empty, a three-part analysis of the petrodollar system that was so full of woe that it ran a full four parts. That’s 33% more woe than had been promised. Because we thought the series represented the kind of deep-dive analysis that we admire, we asked … Read more
Deep Knowledge Investing is pleased to announce that Heather Heldman, Founder of Luminae Group, and member of the DKI Board of Advisors, is teaching a course called “Mastering the Fundamentals of Strategic Geopolitical Risk Analysis”. As a courtesy for DKI readers, Luminae is offering the class to you at a 33% discount. I’m already registered. … Read more
Today’s announcement that the Consumer Price Index (CPI) hit 9.1% was so severe that there is now credible speculation that the Federal Reserve will raise the fed funds rate by 1.00% instead of the planned .75% which would still represent a huge increase. We warned that inflation was large, understated, a huge problem, and not … Read more
