Trade Deficits Make America Poorer Not Richer – Ep.226

* I will be in Orlando tomorrow for the Money Show

* I will be there Wednesday and Thursday returning Friday

* I have several speaking events, a couple of workshops

* If you're in the Orlando area, come by, it's free to register online

* You can pick up your badge on site

* We'll have a booth in the exhibit all, you can come by and meet some EuroPac employees

* We look forward to seeing clients and listeners

* Last week I spoke about President Trump and his weak dollar policy

* He thinks the dollar is too low, the euro is too low, the yen is too low, the Chinese yuan is too low

*  Over the weekend Germany's finance minister came out and agreed with President Trump

* He agrees that the euro is too low

* We know that the Bundesbank does not approve of the easy money policies, the QE, the negative interest rates that Draghi and the ECB have force upon them

* I believe that rising German opposition as well as rising inflation both in Germany and throughout the European union will ultimately force the ECB to abandon their monetary policy

* Maybe even at the same time that the Federal Reserve is finally admitting that they're about to ease again

* We got the jobs numbers on Friday, I did a video blog about it



* To me, the numbers seem troubling for the Fed because even though we created better than 200,000 jobs the number of people who rejoined the workforce, who now want jobs jumped dramatically

* So you have a lot of people looking for jobs; the jobs aren't there

* So the unemployment rate is going to come up

* There will be wage pressures, and that is going to push the Fed in an easing direction

* In fact, we got some numbers that came out today on Consumer Credit

* Credit card debt grew by the smallest amount since 2013, which is a good thing

* We don't want consumers taking on credit, it's bad economically to borrow money to consume

* I really made that point in my book, "How an Economy Grows and Why it Crashes"

* If you haven't read it, pick up a copy at schiffbooks.com

* The point is, it's good that consumers are taking on less debt

* Of course, if you're a retailer, and you're depending on those indebted consumers to go deeper into debt to buy your stuff, that's a bad sign


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