Rising Stock Prices Are Not Always A Function Of Economic Activity

A rising stock and gold trend is a product of Currency Induced Cost Push Inflation. If you have eyes to see the future, it’s hiding in plain sight.

Jim

Jim,

Currency induced cost push inflation (CICPI) is the reason why nominal (U.S. dollar) stock prices must be adjusted into a stable currency to “see” the real trend. There’s big difference between nominal and real trends. The media, however, makes no attempt to differentiate between them. Rising stocks prices are not always a function of economic activity. When the U.S. large cap total return index is adjusted for CICPI, the real and quite cyclical trends become obvious.

Eric

U.S. Large Cap Total Return Index (LCSTRI); S&P 500 Total Return Index to Gold Ratio:


Source: martinarmstrong.org