For the past year, we have all heard Fed Governors and macro commentators argue that the Fed should “look through” tariffs and more recently, that the Fed should look through the oil price shock. Our view is that the Fed should look through nothing.

The news upsetting markets this morning is the President’s announcement that he will impose punitive tariffs on European countries standing in opposition to the US acquisition of Greenland. S&P futures are looking down by about 1.5%. The dollar is weak as are Treasuries and the crypto complex. Risk off and sell US based assets is the trend of the morning.  Gold is up and silver is parabolic. The world has come to take the President’s tariff threats seriously and seem to be anticipating that the Europeans are finally willing to take aggressive measures specifically against globally dominant US technology companies.

Today, after much prayer and deliberation, I am launching my campaign to be the next Chairman of the Federal Reserve. Unlike the other candidates running for this office, I am running as a “Run it Cool” candidate. I know it’s a long shot given the President seems dead set on a candidate from the “Run it Hot” Party, but I think the President should hear me out, because the run-it-hotters might be good for markets near-term, but they sure aren’t going to help in the midterms.