Dig, if you will, a picture. It’s April. 1986. Neon greens and neon pinks. Spandex. Mixtapes. And then dig something else: some cat with a wavy afro and a serious strut in his step, standing only five-foot-two inches tall (without heels), whose only rival on the earth might be, just maybe, the Beatles or Michael Jackson.  

His name is Prince Rogers Nelson, the dude otherwise known as Prince. The Purple One. His Royal Badness. The High Priest of Pop. And he is at the height of his powers.

That’s because in this week in 1986, Prince owns not just the number one song in the US, a mega-hit by the name of “Kiss,” but also the number two song, sort of. That’s because the number two song is a little tune written by Prince but sung by the female pop band The Bangles. Perhaps you’ve heard of it. It’s the I-don’t-want-to-work-this-week anthem called “Manic Monday.”

Prince originally wrote the song for himself but allegedly offered it to The Bangles to win the affection of Bangles co-founder Susana Hoffs. No matter the reason, it’s just another example of the absolute genius of the Minneapolis-based guru and juggernaut.

This month’s economic indicators are a bit like that. The juggernaut isn’t local but national. And it comes in the form of inflation. There really isn’t much else to talk about locally, as employment, wages, sales, and housing have remained consistent with last month. But with inflation now above 8% (year over year), things are looking difficult. If the Fed tightens rates too much, it throws the country into a recession. If it doesn’t tighten rates enough, it risks further inflation and erosion of incomes. 

Ask yourself this question: Would you rather have less earning power, or would you rather see your company’s sales decrease? How about neither? That’s the answer the Fed is looking for but probably can’t have.  

So far, Fed Chairman Jerome Powell has taken a more-talk-less action approach, trying to coax inflation and the market into a soft-landing and reset in 2023. This is all to say the next six to nine months are going to be a bit choppy—for supply chains, for stocks, for corporate and public finance, and for housing.

Will it be enough for doves to cry?   

Let’s hope not.