Just about every asset class rose in price yesterday. Why? Inflation—inflation that’s not in the official manipulated data. With an abundance of monetary excess to the financial system, precious metals, energy, stocks, commodities, real estate are all inflating. Maybe some single-family home prices will moderate or fall, but commercial real estate is on fire.
The Fed raises interest rates to keep overseas investors buying US bonds and to keep the dollar from collapsing. It’s working so far.