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Strategies & Market Trends : US Inflation and What To Do About It -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (1325)	1/15/2020 9:23:05 AM
From: RetiredNow	Read Replies (1) \| Respond to of 1504

The real question for us is this: is consumer spending a leading or a lagging indicator for the economy? All other indicators are week, but everyone says the consumer is strong and that will keep the economy powering ahead. But why? I don't really see it. Look at this retail sales chart. Does that look strong to you? tradingeconomics.com Retail sales have been very week and retail businesses are going out of business left and right. It's true part of that is the Amazon effect, but also part of that is an over-leverage consumer and a week Millennial generation, while Boomers are in the retirement years, not spending as much as they used to. So I just don't see how this economy doesn't slip into recession. Assets could continue to inflate with the continuing tide of Fed liquidity, but if they don't keep doing that, then all assets (stocks, bonds, real estate) must catch down to economic reality sooner rather than later. My guess is right after the election is when reality hits hard.