This breakdown is exactly what people need right now. The way you connected the Strait of Hormuz to inflation to the Fed being paralyzed is so clear and honestly a little unsettling when you see it laid out like that.
The Fed’s biggest fear right now isn’t a recession. It’s a 1970s-style “stagflation expectations loop.” Once people expect prices to keep rising, they demand higher wages. Higher wages push prices higher. The loop becomes self-fulfilling. Breaking that loop later costs way more than stopping it now.
This breakdown is exactly what people need right now. The way you connected the Strait of Hormuz to inflation to the Fed being paralyzed is so clear and honestly a little unsettling when you see it laid out like that.
The Fed’s biggest fear right now isn’t a recession. It’s a 1970s-style “stagflation expectations loop.” Once people expect prices to keep rising, they demand higher wages. Higher wages push prices higher. The loop becomes self-fulfilling. Breaking that loop later costs way more than stopping it now.
Super helpful thank you
Thanks for the kind words. I post this stuff because I wish someone had told me earlier.
Absolutely thank you so much for providing this great knowledge