The first ‘global inflationary depression’ is very possible

Advancing Time/Bruce Wilds

Repost from 3-5-2021

graphic image of a seated bear gazing quietly back at the viewer“It is possible that we might soon be witness to the first global inflationary depression. This is not a mix of words we normally see placed together. Several factors make this scenario possible. First, we seldom have depressions but instead, tend to roll through mild recessions, however, what we face may be far more severe. Second, in the past, times of falling economic activity have generally been deflationary as defaults rise but this time, not so much. Third, but not least, in the past, many events tended to be regional rather than global, but over the years as economies have become more interconnected the resulting codependency presents an increased possibility of problems spreading across the world.”

USAGOLD note:  Stagflation in extremis …… Wilds says it is likely to have “profound consequences for various inflation-sensitive assets around the world.”

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