Another piece of not-so-good news from the GDP report is that higher oil prices have driven inflation up to 3.5 to 4%. This is as we predicted.

We’ve been shouting from the rooftops that if conservatives in Washington don’t inject more steroids back into the economy, they will get routed in the midterm elections. They don’t seem to realize how much trouble they are in after losing virtually every off-year and special election all over the country in the last six months.

According to an update by political analyst Bruce Mehlman:

Six months ago prediction markets gave Democrats a 58% chance of capturing the House and 27% chance of winning the Senate. Today the quoted odds are 86% (House) & 50% (Senate).

In other words, if you have an R next to your name, Houston, we have a problem.

This is why a “skinny” reconciliation/budget bill is a fool’s errand. We need tax cuts, fraud reduction, health care savings, DOGE cuts, etc. Go big.