In this morning's edition of The Macro Show, Hedgeye CEO Keith McCullough and Director of Research Daryl Jones hash out Keith’s recent conversation with David Rosenberg, and their differing outlooks on inflation.
"Our Nowcast has us staying towards 4% on inflation in the 4th quarter, and he has us going towards 1%. You can’t get to 1, it’s mathematically impossible," explains McCullough as he highlights the differences in how he and Rosenberg model and think about inflation.
“Rent in Canadian CPI is actually up +4.5%; so in Canada, where Rosie is based, you’re really seeing rent come through to CPI. And we’re going to start seeing that in America,” explains Jones, as he breaks down the underlying components that both are, and will be, drive inflation higher.
We’ve opened up Keith’s full hour-long interview with David Rosenberg FREE. Read key excerpts and get access to their conversation HERE.
Rosenberg: "Well look, I think what we've got on our hands is a deviation from a trend line. Look, you and I would be having the same conversation a decade ago when we came out of the Great Recession and the economy for a time-period was strengthening.