If it hadn't been for the fear of humiliating myself before such a grand assembly, I would willingly have fallen at the feet of this generous gambler, to thank him for his unheard of munificence.
#1 “there was a time when monetary policy aggregates were important determinants of inflation and that has not been the case for a long time”
#2 “Inflation is not a problem for this time as near as I can figure. Right now, M2 [money supply] does not really have important implications. It is something we have to unlearn.”
#3 “the correlation between different aggregates [like] M2 and inflation is just very, very low”.
Your soon to join 100 Best Economics Blogs.
Thank you for the praise
As always, not very good, but excellent.
LOL. Powell:
#1 “there was a time when monetary policy aggregates were important determinants of inflation and that has not been the case for a long time”
#2 “Inflation is not a problem for this time as near as I can figure. Right now, M2 [money supply] does not really have important implications. It is something we have to unlearn.”
#3 “the correlation between different aggregates [like] M2 and inflation is just very, very low”.
Monetarism:
Parse date; R-gDp; Inflation
07/1/2022 ,,,,, 0.088 ,,,,, 1.195
08/1/2022 ,,,,, 0.124 ,,,,, 1.280
09/1/2022 ,,,,, 0.072 ,,,,, 1.143
10/1/2022 ,,,,, 0.093 ,,,,, 1.141
11/1/2022 ,,,,, 0.119 ,,,,, 0.906 deceleration
12/1/2022 ,,,,, 0.112 ,,,,, 0.594
01/1/2023 ,,,,, 0.107 ,,,,, 0.603
02/1/2023 ,,,,, 0.104 ,,,,, 0.543
03/1/2023 ,,,,, 0.111 ,,,,, 0.459
Salmo Trutta from Seeking Alpha?
Yes.
N-gDp has been too high in 2022. But long-term money flows are turning down at the same time short-term money flows are headed up. So, stocks rise.
Atlanta’s gDpNow is up to 4%. Cleveland’s’ inflation nowcast is down to 5.4% in the 4th qtr.
Great to exchange with you Spencer/Salmon.
As always it is great to have your great insights into money flows and the monetary machine.
Best,
Martin