…..Quit Pretending

Joe Biden is not running this economy.  Joe Biden’s economic advisors are not running this economy.  Joe Biden’s cabinet members are not running the economy. The people running this economy are the climate change activists behind the scenes who have been elevated into positions in all economic cabinet offices throughout the administration.  This was the deal in 2020 that led to Biden’s installation.

Professional political activists, Elizabeth Warren and Bernie Sanders types, within the Interior Dept., Energy Dept., EPA and other regulatory agencies related to the energy economy are in control. Not a single operator within the system looks to the White House or executive office for guidance.  They knew they had a short window to carry out the unilateral agenda regardless of damage it does.

This is a full-throated assault on the energy industry under the auspices of the climate change agenda. And that is what is collapsing Main Street and pushing massive costs onto consumers via inflation.  That’s it. That’s the background. No one in/around the White House has any control over the consequences. That was the 2020 deal made, and the reason why Biden was selected as the nameplate.

Oil prices have shot up to $120/barrel.  Russia and Ukraine are being used as a smokescreen for the ‘Build Back Better’, or domestically, the “Green New Deal’, agenda.  The same climate agenda supported by the entire Western government alliance who bow to the altar of the World Economic Forum.

Damn the consequences, full speed ahead. Main Street citizens are collateral damage.  They don’t care. In the view of the operators, their urgent goals are bigger than our needs; and their high-minded, filled with superiority justification is, they are trying to save us from ourselves.

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Have you ever seen egg prices at $1 per egg range, or $12/doz?  Hold on a few months and perhaps you will.  That is the context for the scale of food price increases the USDA is now starting to predict.  The highest predicted change in food costs in well over 40 years, that’s the USDA warning in their revised May “Food Price Outlook”. [DATA HERE]

This month the USDA just re-re-revised the forward price outlook, and things are grim.  It likely doesn’t come as a surprise to many CTH readers because we have been discussing the convergence of events since October of 2021, when we first were able to predict Wave-1 (Dec/Jan), and Wave-2 (March/Apr) inflation.  However, the underlying data for Wave-3 is double the prior two phases.

Keep in mind the data is national & skewed toward low estimations as represented by (+).

When the USDA predicts egg prices increasing by 19.5 to 20.5% (from where those prices are now), there will be regions with much higher retail increases than estimated.

Just two months ago, USDA had egg inflation at 2.5%-3.5% range, year over year.  Again, that’s the scale of change; from a 3.5% forward outlook to a 20.5% forward outlook effective right now.

Food at home (grocery store) prices: up 7% to 8% in this monthly review, versus the April outlook of a rise of 5% to 6%. That means the USDA is predicting the highest grocery store price rise since 1980 when prices rose 8.1% (prices rose 7.2% in 1981).  There is no reason to think the USDA forecast will not rise again in June.

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In April India said it was hoping to expand its wheat exports from 7 million tons to 10 million.  However, as precarious winter wheat harvests reflect lower outputs, they are reversing position and will now block any wheat exports in order to ensure their own supply.

INDIA – […] The announcement drew sharp criticism from the Group of Seven industrialized nations’ agriculture ministers meeting in Germany, who said that such measures “would worsen the crisis” of rising commodity prices.

“If everyone starts to impose export restrictions or to close markets, that would worsen the crisis,” German Agriculture Minister Cem Ozdemir said at a press conference in Stuttgart.

Global wheat prices have soared on supply fears following Russia’s February invasion of Ukraine, which previously accounted for 12% of global exports.

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As we contemplate the massive $40 billion transfer of U.S. taxpayer funds to Ukraine, a few things need to be emphasized.

First, congress has decided to pay the salaries, benefits and pensions of Ukraine political officials and citizens.  As U.S. citizens try and figure out how to afford housing, gasoline, food and basic goods, congress has decided to subsidize another country.  That’s the first point.

Second, as to the pragmatic question of “to what end?” There was a critical point made last week by Defense Intel Agency (DIA) Director Lt. Gen. Scott Berrier, that not a single media outlet or politician discussed.  During his briefing to the Senate Armed Services Committee, Berrier was asked “can Ukraine win” the conflict against Russia?

Lt. General Berrier replied: “That is a difficult predication to make. I think where the assessment is at, is a prolonged stalemate should no factor change on either side. In other words, the Russians continue to do what they’re doing, and we continue to do what we are doing for the Ukranians.”  WATCH:

The Pentagon assessment is the best that can be achieved is a stalemate.  Billions of billions of dollars being poured into Ukraine, and the most likely outcome is a stalemate.  More people killed, an endless need for continued money to be poured into the ‘war’, and the best possible outcome is a stalemate.

So, riddle me this, why isn’t the U.S. policy position advocating for Zelenskyy and Putin to enter negotiations for a resolution?

What possible U.S. interest can be advanced, knowing the only outcome is a stalemate, where people are killed on either side and money spent on a proxy conflict that ends in loggerheads at some distant point months from now?

Also, why has no U.S. media outlet or pundit played the remarks and assessment from the Defense Intelligence Agency, so that the American people can understand the intent of U.S. policy?

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Comrade taxpayers, as the glorious and esteemed senate move through the procedural hurdles to pass a massive $40 billion spending bill for the U.S. altruistic Ukraine money laundering operation, a fabulous diplomatic envoy consisting of Mitch McConnell, John Barrasso, John Cornyn and Susan Collins travel to Kyiv to meet the magnanimous defender of the international treasury and wealth transfer operation, Volodymyr Zelenskyy.

The magnificent republican leaders went to visit the nicest war zone their bipartisan efforts have created in the past four decades.  As the angels of abundance parted the clouds, many congratulations were shared from the delegation toward their generous host and the expressions of appreciation and respect for the generosity were reciprocated.  WATCH:

No U.S. border security, no gas money, no grocery money, no infant formula, no voting integrity…. Meh, no problem comrades.  We’ve got Ukrainians to support.  We are paying the pensions and benefits of Ukraine government officials and Ukraine citizens.

Keep in mind, the politicians are not tone deaf, out of touch or disconnected; they simply do not care.  We The People are irrelevant to them.

We are in an abusive relationship with our own government.

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The Bureau of Labor Statistics (BLS) released the inflation data from April today [DATA HERE] showing 0.3% increased inflation in April and a continued 8.3% ‘sticky’ inflation year-over-year.

CTH is going to say something slightly unusual, this data is actually worse than expected.   The hidden canary in the mine is within this BLS sentence which shows in the statistics, “the index for gasoline fell 6.1 percent over the month, offsetting increases in the indexes for natural gas and electricity.”  Remember, these are backwards reflections of price captured in early/mid-April.

The actual price of gasoline dropped 1% in April during the timeframe captured.  Yes, there was an actual 18 days in April when gasoline prices moderated and slightly ticked down; however, those prices immediately jumped again late April through today.

Because the BLS puts a 5x weight on the importance of gas [Table A], the 1% temporary drop in gasoline led to 6.1% downward “seasonally adjusted” price pressure.

All of that said, and with the heavy weighting of the gasoline prices considered, the net inflation results barely moved from March (8.5%) to April (8.3%). I modified Table-A to take out the noise.  You can see the downward pressure from gasoline and simultaneously the upward price pressure from food, specifically food at home.

This outcome is a reflection of what we have been seeing in the supermarkets and grocery stores.

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Texas Representative Chip Roy (CD-21) goes full ultra-MAGA after the House democrats created a $40 billion Ukraine spending bill and then demand an immediate vote for support, or else you’re a Russian sympathizer.  WATCH (1 minute):

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The republican senate leadership team held a press conference today announcing their support for the priority agenda of Joe Biden and the White House.

As Leader Mitch McConnell noted at the beginning of his remarks, “we all agree, the most important thing going on in the world right now is the war in Ukraine,” and with that statement McConnell announced he and Joe Biden have agreed to advance a massive package of $40 billion to pay the salaries and retirement benefits of the Ukrainian government.

Comrades, you must put aside any stress about how to afford groceries and still fill your gas tank, there are people in the government of Ukraine who need your tax dollars more.  WATCH (45 seconds):

No gas money, no grocery money, no infant formula, no voting integrity…. Meh, no problem.  We’ve got Ukrainians to support.

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Even with dementia I doubt seriously Joe Biden believes the nonsense he read from his prepared script today.  Every economy policy the Biden administration has triggered, specifically including the Green New Deal energy policy, has caused massive inflation.

The national average price per gallon of gasoline was $2.33 in January 2021, according to the U.S. Energy Information Administration (EIA). It has increased nearly 84% when compared to the current national average price of $4.28 per gallon {link}.  Petroleum and refined gasoline costs are embedded in every aspect of the production economy.  Additionally, Biden’s restrictions, and later policies, on natural gas and coal have caused overall energy costs to skyrocket. Again, these are cornerstones of economic inflation.

During a ridiculously obtuse speech today [Full Speech Here], part of which is in the excerpt below, Biden claims there are only two sources of inflation: (1) the pandemic (covid-19); and (2) Russia’s invasion of Ukraine.  I often accuse democrats of pretending not to know things, however these false attributions are far beyond pretense, they are purposeful lies. WATCH:

Beyond the claims about inflation, a visible pile of bovine excrement is noted in the sentences around Ukraine grain supplies.  Notice there is no supply chain issue pushing thousands of tons of military hardware into Ukraine; however, Biden claims they cannot get grain supplies out of Ukraine.  He cannot even see the hypocrisy in his own script.

Sending more than $50 billion in U.S. taxpayer money to Ukraine while those same U.S. taxpayers are crushed under the weight of the inflation that type of spending creates, is beyond blood-boiling.  We are currently in an abusive relationship with our own government and Joe Biden is the cognitively challenged, disposable front man sent to the cameras to gaslight the American people.

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Mexican President Andres Manuel Lopez-Obrador (AMLO) is not wrong on this one.  AMLO is calling out Joe Biden for sending $33 billion more to Ukraine, while doing nothing financially in central America which would alleviate the migration pressure.

The article, as written, and general tone from President Lopez-Obrador, are expressed from the perspective that Biden has his foreign policy problem solving emphasis on the wrong syllable.

Put that level of subsidy into support within Central America and the migration issue would correct.  Unfortunately, as more people are becoming aware, the location of Biden’s financial emphasis is a feature of the White House plans, not a foreign policy flaw.

Ukraine is viewed as a priority because the DC politicians and corporations gain financial benefit from Ukraine spending.  If Biden were to drop $30 billion in central America, it would impede the White House agenda to keep the southern border crisis going.  The border collapse is a goal of the White House, not a mistake.

GUATEMALA CITY — Mexican President Andrés Manuel López Obrador started a five-day tour to four Central American countries and Cuba on Thursday by lashing out at the U.S. government.

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