/biz/ - Business & Finance

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>>50208287
You are a dimwit. The economy is a wave, and its going to be faster waves than usual

>Economy bounces faster than expected from lockdown
>Supply shortage
>Inflation goes up
>Fed panics
>Starts aggressively tightening financial conditions
>People now struggling with both inflation and rising mortgage rates are pushed into recession
>Fundies also deleveraging at the same time
>Quick market crash
>Dollar milkshake is also happening
>Reverse wealth effect
>Commodity prices finally fall
Phase 2 begins
>People seeing the feds reaction worked well
>Equity markets pleased it works, begin to rally again (happening now)
>Fed begins to chill out
>Real relief rally begins
>Economy healing again now inflation has apparently moderated
>Gold around its low here
>meanwhile many new third world countries are now experiencing hyperinflation, but it doesn't affect US
>Activity picks up
>Inflation rapidly picks up again
>Fed hikes more
>Dollar milkshake overdrive
>US gov debt interest start getting very expensive
>Borrow more money
>Bond holders lose faith in the government
>Yields start rising incredibly fast
>Non US First world countries now experiencing severe currency haemorrhage
>Fed has lost control of interest rates, rates are hiking themselves
>Severe recession
>All world fiat currencies have collapsed into the USD
>Fed has no choice but to QE 6
>They're now pushing over the final domino (USD)
>Commodities now in full send
>Shit hits the fan.