Hyperinflation 101 (percent that is!)

The United States is not FACING a crisis of hyperinflation . The United States is IN a crisis of hyperinflation right now! According to Wikipedia: " In economics, hyperinflation is inflation that is very high or "out of control", a condition in which prices increase rapidly as a currency loses its value.  Definitions used by the media vary from a cumulative inflation rate over three years approaching 100% to "inflation exceeding 50% a month."  In informal usage the term is often applied to much lower rates. As a rule of thumb, normal inflation is reported per year, but hyperinflation is often reported for much shorter intervals, often per month ." Unfortunately, like the proverbial frog being boiled in water who doesn’t realize he’s going to die, the US has been oblivious to one of the worst inflationary runs in US history because we don’t tend to look outside our own boarders when assessing the economy.  Since April 20th, we have noted a series of "stick saves" that have taken the market higher, almost like clockwork, at the end of each trading day.  Whether this in natural market action or blatant manipulation, we don’t care - we now have daily " stick save plays " when our conditions are met and we haven’t missed one yet. So while the general public enjoys their stock " rally " and while the media placate you with " green shoots " language, your money is losing it’s value at the fastest rate in US history .  Does that sound like a bold statement?  Here’s the chart :7 This is a chart of the S&P.  " Hey" you may say - "MY stocks are going up ".  Yes, your stocks ARE going up, but they are going up against the dollar (hopefully you don’t have any of your money in those things, that would be a catastrophe!).   This is a chart of the S&P priced in barrels of oil.  You do buy oil right?  Well if you want to convert your stocks back to barrels of oil, the stocks that got you 17.9 barrels of oil on April 20th now get you just 13 barrels today.  That’s a drop of 27.9% in 50 days, an annualized inflation rate of 203%! And that’s measured against the S&P which, if you were 100% invested in it over that same period, seemed to go up 20%.  Against cash the inflation is much, much worse and, sadly, most Americans are in cash right now .   Remember that definition of hyperinflation:  prices go up so fast you measure the monthly moves!  Notice back on…