A Big Problem for the US Economy

As you know, the Federal Reserve Open Market Committee has been raising interest rates in an attempt to slow the economy so as to slay the inflation dragon. There are signs that their efforts are working.

However, one big problem  - a problem that has been looming for quite some time now - is finally upon us. Our federal government is now spending as much on interest payments as they are on national defense. This is not a short-term problem.  The risk is that this increases the chances that we are in a secular bear market that is currently experiencing a cyclical bull phase.

Finally, we show a recent example of why you need to be careful when digesting the news.

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