First Mining Gold Corp (FFMGF)

[Implanting]

There's absolutely no doubt the differences between now and when Volcker was there are huge. The biggest issue is of course the debt disparity, but I also think Volcker had a real mindset to take down inflation and I'm still very skeptical of what Powell's going to end up doing. I don't think they'll ever be able to get inflation back to 2% and most likely don't want to see it that low again. They have to inflate as much of this debt away as they can without getting their heads handed to them, so we're probably talking 3-4% inflation at best going forward.

I think Rosenberg made some very astute points about what he sees coming. The markets will rally when it's clear the rate hikes are stopping, even though the Street knows they can only go so high. The problem then arises that by Q1 of next year the recession will have kicked in full force with bad earnings and outlooks for most likely the rest of 2023. Remember all these .75 point rate hikes they did this year will be hitting the economy next year because of the 9 month lag between when the rate hike was done till it's felt. That's also why it makes sense that when Rosenberg made his point about the market not bottoming until their rate CUTS are almost finished. It takes time for the rate cuts to work through, just like the hikes did.

Will we get to his 2700 S&P prediction? Maybe.
We may have to see that type of market pessimism come just like we saw the
optimism last year. The pendulum has to swing the other way.