Okay, sorry about that check this out, consumer inflation numbers just came out at eight and a half percent. That is a 40-year high. If you're, not tired from me saying this, i want to show this little quick article here from seeking alpha look. Numbers are insane increases in prices for gasoline housing and food all contributed to the seasonally adjusted figure with gasoline up 18.3 now look whoo year over year, cpi rose 8.5 versus the consensus now previous month, which was february.

It was 7.9. You got to take that in context. That is a record high. I agree with stuart hoffman, whoever the is is not good.

Look he's saying here that 50 basis points is a given now 50 basis points is just a drop in the ocean are bad and they're about to get worse. 50 basis points in may is not even a question. The question is: how far would this thing go until the end of the year? I'm not sure they're gon na be down with seven seven hikes that might need to go way way. Higher.

Now, look everybody's gon na basically circle jerk over the core cpi number. As being 0.3 versus 0.5, i mean look. The core cpi is the way of the government to tell you that everything is fine. Don't worry, everything is fine.

Look we're not going to measure the things that you actually need and use we're just gon na measure, a bunch of that's gon na make the number look much much smaller, so you know getting hyped up over cpi core 0.3. I'm not buying! That now. Look. Of course, they're talking about 50 basis points 90 probability i mean golly, i mean that's, not a huge shock.

I mean we all know that's going to happen now. Look, let me scroll back up here. This is not not a lot of surprises. You look.

I'm gon na give you my two cents about it and then i'm gon na talk about what happened with charlie munger, because charlie munger actually dumped 50 of his alibaba stock. That's another interesting story! Um now, first of all, let's talk about inflation, so inflation is harder than pamela anderson baywatch, it's the hottest it's been since 1981.. Things are bad and they're gon na get worse, i mean it's almost like at this point. With this administration i mean they're so confused like pop the champagne joe, we did it.

Where did the joe? I mean he probably thinks at this point of his life, that you know the highest in 40 years. Actually, a good thing, i would not be surprised. I mean the bonehead decisions that this administration was taking so far. The sad truth of this and jokes aside is inflation is a tax on the poor and the worst of it is going to be on the poor and the middle class.

The middle class and the poor are going to get screwed the most, as always, and no matter how you know the stock market takes it, and so far it seems like the stock market is loving it it don't matter, because the poor people and the middle class People like the rest of us are going to get screwed up to wazoo when we buy essentials like bread like wheat, like freaking, underwear, gas, i mean things that we all need every day. Those are way more expensive than 8.5 and they're about to get more percent expensive. Now, if you're looking for a little bit of a positive spin on this, the only good thing i can find here is that gasoline, with 18 in march, contributed about half of the increase and in march, if you look at crude crude, was elevated in march 113, 114 120, so there was a massive spike in march in crude oil and it seems to have come down. I think mainly because of the chinese lockdowns to sub 100, so march was really really up there with the crude oil.

So if you want like a positive spin without the spike in march, we don't see 18. Probably, but let's see what happens next um, that's the only good thing. I have to say about it that there's a little bit of a skewed element because of um crude oil prices in march. Now things i can't spend is the fact that we're already 13 months into inflation above the fed benchmark of two percent.

Now we cannot blame putin, like this administration already tried doing it's not his fault. It wasn't his fault, it's not about the russian invasion. It's a simple mathematical formula when you print 40 of the us dollar during a single year, you're going to cause inflation. It's just simple math: you can talk about supply chains, you can talk about macroeconomics and geopolitics, but when you print so much goddamn money, you're gon na cause inflation, you can't have the cake and eat it too, or you can't eat it and have it whatever.

Now macroeconomically we're in deep doodoo, it's gon na be ugly. We have the russian invasion in ukraine, we have surging energy prices, china is in massive lockdown. We have supply chain wage growth out of control. We got walmart offering 100 plus grand for truck drivers to come in to work and not that i'm against it.

I think drug drivers should definitely get paid, but i mean it's across the board. Wage increases are crazy and, on the other hand, people can't hire some. You know basic jobs that were always needed to get filled up. They can't get people to come in through the door, the food industry, for example, but there's many others i mean again, it's not putin's fault and it's definitely not transitory.

Mr powell, i think we all know that by now, um and again, i think the only thing the government is going to do in this case instead of solving the underlying problem, which is allow the fed to increase rates without sending the us debt skyrocketing and there's Ways to do it, i made videos about it, how you can restructure the debt to not be as sensitive for rate increases, but what they'll do is the easy solution. I think, like any government - and it's not about you - know, left left or right or whatever all politicians they'll do the same. They'll find a new formula to calculate inflation, to show you that things are not as bad as they seem, but you know just ask yourself this question: how much you're paying more in the supermarket right now and in the gas station? Is it 8.5 percent um? You know the answer to that now. I want to show you this charlie monger sold to the man from omaha and his friend i'm kidding it's actually charlie's own stake.

Uh yeah he sold half of his alibaba steak, uh the one he bought at you know the end of last year at over 160 dollars. He bought it at the end of last year. He sold it for 100 bucks this year and the question is like what's going on here and i'm going to be fair, i don't want to be an. There might be a good explanation here because, like you know, there's this world famous saying that there are many.

Many reasons to sell a stock, but only one reason to buy stock, or maybe you tell it vice versa, but the thing is you know: stock selling can be done from a lot of different reasons. It can be tax harvesting, it can be um. You know trying to convert these american shares into hong kong shares getting out of the vie into actual shares of alibaba and can be a lot of different opportunities here for monger. To do his thing, i don't know exactly what he's doing, but we haven't heard any expedition from him, so we're gon na assume that those 300 shares 300 000 shares he bought at the end of last year, and now he sold was basically him admitting that it's Not as good of an investment as he thought originally now look, there is one thing you should be aware of, so these shares were held by the daily journal.

I don't know my russian accent all of a sudden. This is killed by the daily journal and monger. Actually stepped down he's no longer the chairman of the board um in march, so he steps down a month later they sell half this. Does it mean that he was forced to step down because of his baba bet? Bubba or maybe they just waited for him to step down to liquidate, or maybe i don't know it just for me.

I always found it really really funny how people threw his name around to justify owning alibaba stock or any chinese talk in this geopolitical environment. I think people after russia realized that geopolitical risks are real and should be taken into account and priced in, especially if you're buying a contractor right and not an actual ownership of a company um for me, and i've said it before, and i said it on our Show this morning on money talks, i said it investing in the company in a country that's being controlled by the ccp. The chinese communist party is basically glorifying the communist regime and the communist dictatorship, and i don't do that and if you do that, you're supporting communist dictatorships, just my two cents about it um. But here's the big question here until we hear from monger.

We don't know why he did this, but if, in fact, this is an admission of defeat with baba, i would say that this is just the beginning. I i would say that there's a lot of different investors out there who followed this dude through the door into alibaba and we'll see what happens with it. But hey you know. People who live in palantir houses should be throwing babas at the walls.

You know what i mean, so you know i'll take my licks er, i'm also, you know deep in baba and the palantir myself. So i guess comment below which is the crashiest performing stock of the past year. Is it alibaba or palantir? Let's see what we have below and by the way, no hate for my chinese subscribers. I love you all and i love your culture and i love you as people, i don't with the chinese government with communist dictatorship.

That's it! So if you want to hate me for it so be it see you tomorrow and don't forget to subscribe to our patreon. If you are you're going to watch some old russian movies with us and you know, um, there's no stock tips, i mean there's no payable. It's just going to be hanging out. We actually have a zoom call today.

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