Welcome to Animal Spirits, a show about markets, life, and investing.

Join Michael Batnik and Ben Carlson as they talk about what they're reading, writing, and watching.

Michael Batnik and Ben Carlson worked for Redholzworth Management.

All opinions expressed by Michael and Ben

or any podcast guests are solely their own opinions

are subject to change based on market and other conditions and factors.

And do not reflect the opinion of Rittlesworth

management, State Street Global Markets, and or State Street Corporation on its

affiliates. This podcast is for informational purposes only and should not be relied

upon for investment decisions. Clients of Reynolds World Management may maintain

positions and the securities discussed in this podcast. We're rejoined today by Marvin Lowe,

senior global macro strategists at State Street Global Markets. Marvin, thank you for coming back on with us.

Great, thanks for having me.

So let's start here.

Is it surprising to you that inflation remains

relatively muted in spite of all the spending from the government that we've seen in the first half of the year?

I guess I would say not really you know not that I'm a sage in this but ultimately we've had a

collapse in demand like we've never seen before.

And really the amount of government spending was to keep things going on.

Mission accomplished to a certain degree because we were more worried about deflation. Certainly in March and April,

there were views that we were going to have deflation

for the next couple of years.

...