Stansberry Research, Released on 3/17/23

“Assuming the Fed still hikes either 25 or 50 basis points on the 22nd, the Fed will have raised 500 basis points in a year,” asserts Jim Bianco, founder and president of Bianco Research. “No more analysis needs to be done. That’s too much. That’s a gigantic rise in interest rates, and this will cause a giant downturn in markets,” he tells Daniela Cambone. “This is now a fundamentally different economy, and there is not going to be a return to a 2019-style world,” Bianco says. “The result of all of this is that the economy is out of balance, and that leads to persistently high inflation,” he continues. “Inflation will remain up until we realize this. We have to reshift and restructure this economy and instead of doing that, we’d rather engage in a debate about if it actually has changed,” Bianco states. “The cities need to be fixed and reoriented so it’s not a terrible experience going into the office… They need to rethink this,” he argues. “The layoffs occurring in the tech sector are not emblematic of what’s happening in the rest of the economy,” he says. “I think CBDCs are coming faster than we think and I think they are probably the worst idea that we have in finance,” Bianco continues. “[CBDCs] are not an evolution of finance. They are just a behavioral state tool that will be used to manipulate behavior of people,” he concludes.

00:00 Fed’s rate hikes and the ramifications
6:09 Presidential election and recession
8:23 How do we navigate a recession?
14:01 People prefer working from home
17:27 Tech layoffs
20:18 Trajectory of U.S. dollar
25:14 Gold can’t replace the dollar’s role
25:48 CBDCs are coming fast
28:13 The crypto sector
31:20 Where are opportunities within the crypto sector?
34:39 Sectors that Jim likes
40:54 How does Jim see gold’s performance?

Jim Bianco is President and Macro Strategist at Bianco Research, L.L.C. Since 1990 Jim’s commentaries have offered a unique perspective on the global economy and financial markets. Unencumbered by the biases of traditional Wall Street research, Jim has built a decades long reputation for objective, incisive commentary that challenges consensus thinking. In nearly 20 years at Bianco Research, Jim’s wide ranging commentaries have addressed monetary policy, the intersection of markets and politics, the role of government in the economy, fund flows and positioning in financial markets. Prior to joining Arbor and Bianco Research, Jim was a Market Strategist in equity and fixed income research at UBS Securities and Equity Technical Analyst at First Boston and Shearson Lehman Brothers. He is a Chartered Market Technician (CMT) and a member of the Market Technicians Association (MTA). Jim has a Bachelor of Science degree in Finance from Marquette University (1984) and an MBA from Fordham University (1989).

  banking crisis, CBDC, federal reserve, inflation, Jim Bianco