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Leeb Capital Management CEO Stephen Leeb and Empyrion Wealth Management President Kimberly Foss on the impact on the economy of the fiscal cliff deal,...
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And so are Steve lead.
And Kimberly thoughts.
Kimberly what's going on.
You know it's is it's amazing to me that they are actually still empowered can get reelected to me but.
The reality is is that they are mutually beneficial society within thousands so.
It -- neither of them want to either cut spending or or cut entitlements.
Because it feed that -- -- their around their own society around beneficial you know progress.
So the reality isn't going to be that.
We're gonna have to raise the debt ceiling it's gonna cost -- more money we're gonna go into.
Debt more and that's going to cause a ripple effect in -- I think internationally and globally.
That there aren't -- decrease our debt rating got to have maybe a double and for don't relate to an eight.
And that you know I can't I don't think -- -- -- make.
These guys blank I mean Steve the last downgrade from that's -- David you know what you're never going to -- On -- have narrowly -- and to just be told.
The world went merrily on you know adding to what what what will it take to get these guys -- -- -- such.
Good point not only the world gold -- on but the dollar actually got stronger.
After the downgrade because it created a lot of uncertainty but you know what there's a point at which.
Everything changes all of a sudden people realize -- These guys really can't get their -- regret it together and -- don't -- -- -- handle on your head the -- that I know that and sometimes it takes -- and allowing UN and being what do you think of this you know my my my guess is you gonna get a downgrade I don't see how these guys get together but my -- -- that it has no -- the -- OK Mike I'll -- to a -- it does have an effect that dollar -- this one doesn't have an effect the next one and I think this country -- -- crisis.
And I think the crisis will be the dollar becomes trashed and inflation heads up in a dramatic way.
And that will get everyone's attention -- We're not going to come together in my opinion and -- we have inflation and inflation big time.
And that will happen as soon as the dollar -- towards marriage.
-- it can -- let him -- I wonder whether apple remember inflationary period and how -- -- -- is because we can't keep you know.
You know dodging the reaper.
One that's supported I agree with Steve eight -- I think that we really need to fall down and -- -- is and really feel the pain because nobody's paying attention.
And tell they feel that pain which is inflation and that nobody knows 'cause it was 3035 years ago.
I don't know what's gonna -- -- -- so I think that's -- is absolutely right I agree with as a cumulative.
Markets still and let her do landing filled with Smart guys like you know who know what the score in the skinny is are they just -- day today.
-- -- What are they why didn't -- it it no want to look at what's happening and no one wants still.
Vita -- to catch the Social Security because their moms thousands of -- and -- doesn't scary.
But the reality is guys we have a declining birth rate in this country.
We have an income nineteen.
At elevated rate or finer sounds just like a Japanese where there's -- more adults and diverse than there aren't in -- And who's gonna -- that and that's the problem number one I don't know I don't know what -- moron I'm minute need diapers but.
Steve where it is -- play this out this year but -- -- up.
And it in the stock market I mean I think the market has very good chance of being down this year -- -- and it's because you're not going to make your profit growth.
And I think you will have more inflation I mean once the dollar becomes more trashy.
And what's it becomes -- matter that I did note that you stated -- the times quotes that time is close and the reason the markets haven't reacted yet you nailed it.
Because the last time this happened nothing happened.
Yeah but there will be a time I'm Betty and nickel on this one and that they -- lose this nickel nickel bet the next -- is a quarter.
Because there will be a time when this absolutely happens we get downgraded.
The dollar goes to you know it to the floor and inflation.
Through the -- and that's the crisis we need and that is almost in applicable in my mind.
Aren't on that happy note I'm sorry I yeah I want to thank you both I think it.
