At a 5.5% discount rate, “People with the least education have seen some of the steepest growth in employment levels.”  And China is in deflation.  Correlation doesn’t always equal causation, but….

So China posted another month of negative consumer inflation at -.8%.  Foreign investors have been taking money out of China.  The construction job market is still relatively strong in the U.S.  Those that work in the physical world emblematic of the rust belt of yore, seem to be clawing back.  Have you checked on your local tradesman’s rates?  They are probably up.

So is the 5.5% discount rate and disinvestment from China the tonic mixed the right way that sparks the working class to make some gains?  I also hear we have some stimulus coming through the pipeline.

Is this also the reason that we are in a new rate era, and the Fed won’t be able to lower rates?  It was Chinese inflation and American deflationary fear during the working class decay, but now with Chinese disinflation and higher rates in the U.S., will the inverse hold true?