Blain’s Morning Porridge Sept 17th, 2026“The 1% of Americans funding politics get to chose how the rest will live.”Kevin Warsh established a degree of credibility for the Fed and himself yesterday by hiking rates. The Fed is focused on fighting inflation – the best long-term option, but a short-term painful outcome for American voters. The coming electoral cycles in the USA, Europe and the UK will all highlight the power of money that’s driving the narrative. Big money from Crypto and Tech is driving political decisions. The electorate will suffer the consequences of policies set to elicit donations rather than foster long-term growth and economic security. Key Takeaways:No need to worry about Kevin Warsh or the Fed – the unanimous 25bp hike confirms independence and price stability is the goal.Cutting inflation is an economic imperative, but politically painful – thus Trump’s efforts to pin the blame for higher rates on a politically motived board of Democrat appointees.To avoid irreparable damage at the Mid-Terms Trump is trying to sell critical swing voters hope in the form of electoral bribes, jam tomorrow, while blaming the “other-side”. His calls are economically incoherent but designed to win votes by showing the other side is worse.To get his narrative across means financing massive spend on advertising, new media, socials, influencers and podcasts.Increasingly fake news and disinformation is roiling the narrative – raising fears foreign interests may be a play, favouring Trump because of the damage he is doing to perceptions of the USA abroad.America’s billionaires are bought into it – massively favouring Trump with the political donations to fund the media narrative. They are making payments to retain influence in Trump’s court, and to reap regulatory favours for Tech and Crypto.Reform in the UK shows clearly how it works: Crypto interests have made Reform the wealthiest political party in UK history – in return Reform policy will directly benefit Crypto interests, including lower taxes.Kevin Warsh established his bona fides as an Inflation Hawk yesterday. He ain’t the Sock Puppet Elizabeth Warren said he would be.You can read the Morning Porridge by subscribing on ⁠www.morningporridge.com⁠, and have it delivered fresh to your inbox every morning!

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