The Herd Can Be Blind
Today, 1:09 PM • 13 Comments
- Wall Street has a herd mentality.
- They are blind to the warning signs.
- Don't run off the cliff with the rest.
The Bravado Of Borrowers
Editors' Pick • Tue, Feb. 3 • 33 Comments
- Greece and EU are on collision course.
- Greece is in for pain.
- The USA is not far behind with its fiscal recklessness.
Switzerland Wins As Its Central Bank Surrenders
Tue, Jan. 20 • 9 Comments
- The SNB depegging from the Euro should not have shocked the world.
- The move is good for the Swiss, not bad.
- They were the first, they won't be the last.
Hurts So Good: When Exactly Are Falling Prices Bad?
Mon, Jan. 5 • 23 Comments
- Modern economists have it all upside down.
- Oil's price fall, like all falling prices, is good not bad.
- The dichotomy shows what they want, inflation.
Could An Energy Bust Trigger QE4?
Dec. 22, 2014 • 14 Comments
- The oil price drop is not due to a supply/demand imbalance.
- It is due to expectations of Fed rate hikes.
- Those expectations are misplaced and the Fed will be looking to ease more.
Black Gold Loses Glitter
- Oil's drop is due to non-recovery, not supply and demand.
- The temporary surge in the dollar is the dominant factor.
- The drop in oil will be another reason for the Fed to ease.
Data Driven Or Driven Data
Dec. 9, 2014 • 15 Comments
- People believe the economy is recovering.
- But they are ignoring most of the data.
- Reality will eventually come into view.
The Clock Is Ticking In Switzerland
Nov. 24, 2014 • 18 Comments
- Swiss were last to abandon Gold.
- It has done them no good.
- They can turn it around with the upcoming vote.
The Abenomics Death Spiral
- The Abenomics experiment has failed.
- Keynesian analysts don't care.
- The Japanese people suffer.
Contemplating Stocks Without QE
Nov. 13, 2014 • 16 Comments
- Stock Rally Has Been Based on QE.
- QE Has Been Sidelined for Now.
- Don't Worry: QE Will Return.
Governments Need Inflation, Economies Don't
Oct. 16, 2014 • 32 Comments
- Inflation masks debt.
- Governments around the world are broke.
- They will continue to inflate to escape their debts.
Oct. 7, 2014 • 11 Comments
- The economic sins of 2014.
- The sins of omission: economists claiming that the sluggish US economy was due to weather, when it was not.
- The sins of commission: Janet Yellen of the Federal Reserve and Jim Yong Kim of the World Bank President.
A New Fed Playbook For The New Normal
Sep. 30, 2014 • 15 Comments
- Zero percent interest rates is the new normal.
- Even if the Fed talks higher rates, they know that they can't without crashing the so called recovery.
- When rates do rise, it won't be by choice, and the results won't be pretty.
Doubling Down On Inflation
Sep. 29, 2014 • 26 Comments
- The August job numbers were not an anomaly - the economy continues to be worse, despite what the financial media states.
- Zero percent interest rates and trillions of dollars of stimulus hasn't been and will not be the solution.
- The more Japan and Europe follow suit, the worse off their economies will be.
Neighborhood Bully - America Recklessly Throws Its Weight Around
Sep. 22, 2014 • 23 Comments
- With little thought of long term consequences, the US bullies international companies with monetary threats if they do business with countries the US doesn't like.
- The US international arrogance continues to give more fuel to countries to move to a post-dollar system.
- When the world rejects the dollar, the US standard of living will decline rapidly.
Inflation Trumps Growth
Sep. 17, 2014 • 17 Comments
- The economy continues to be stagnant at best.
- Rising prices is seeping into most crevices of the US economy, which will likely impact growth.
- As inflation continues to take hold, investors should consider a non-dollar dominated strategy.
Yellen: Where No Man Has Gone Before
Sep. 15, 2014 • 92 Comments
- Yellen will likely prove the most dovish and politically leftist Fed Chair in the Central Bank's history.
- She is likely to push the stimulus envelope into unexplored territory.
- When the US economic day of reckoning happens, the people she wants to help will be hurt the most.
Sep. 8, 2014 • 39 Comments
- It's not the weather that kept the economy in the doldrums during the 1st quarter.
- This past year's winter was snowier than many, but it defiantly wasn't the snowiest by a long shot.
- Even with Q2 GDP growth, the economy has a long way until a real economic recovery commences.
Debt Is No Salvation
Sep. 3, 2014 • 240 Comments
- Consumption does not create growth.
- Increasing productive output allows for greater consumption, as something needs to be produced before it can be consumed.
- Under-consumption not excess-consumption is what made America great.
Piketty's Envy Problem
Editors' Pick • Sep. 1, 2014 • 329 Comments
- Piketty's Capital in the 21st Century is nothing more than failed redistribution ideas.
- The poor in the US today are much better off than the poor of ancient times.
- Society greatly benefited from the Industrial Revolution.
Meet 'Lowflation': Deflation's Scary Pal
Aug. 26, 2014 • 81 Comments
- Inflation by definition is the increase of the money supply.
- Today's financial "experts" argue that inflation is economically beneficial.
- Would people buy more if prices went up or down?
Debt And Taxes
Aug. 22, 2014 • 37 Comments
- America is trying to borrow its way out of recession.
- US debt has increased by $7.5 trillion since Obama took office.
- The debt that sustains us now will one day be our undoing.
Obama Spins Subsidies Both Ways
Aug. 19, 2014 • 69 Comments
- The Obamacare subsidies will hurt the economy much more than it helps.
- The US standard of living will continue to drop with transfer subsidies.
- Low-income subsidies will encourage some people to take a pass on the drudgery and inconvenience of working.
The Deflation Menace
Aug. 5, 2014 • 55 Comments
- Falling prices should be embraced, not feared.
- Falling prices did not cause The Great Depression, but it did help people survive the depression.
- Prior to the creation of the Federal Reserve, falling prices was the norm.
Too Big To Pop
Jul. 30, 2014 • 12 Comments
- The Fed has created a bubble that will be nearly impossible to wind down.
- The stock market is fueled by inflation, not by a real economic recovery.
- The Fed cannot exit bond buying without pushing up rates.
Yellen: Where No Man Has Gone Before
Jul. 25, 2014 • 223 Comments
- Janet Yellen.
- International Financial Tensions.
The Fed's Rocket To Nowhere
- While the Fed reduces its monthly QE spending, the economy is far from recovery.
- While mainstream economists say the economy is recovering, main street families are getting poorer.
- If China reduces its Treasury purchases, it could quickly sink the U.S. economy.
A Green Light For Gold?
- Gold's obituary has not been written.
- The US monetary and fiscal policies will not change until there is a currency crisis.
- Gold is still the best hedge against inflation.
The Bond Trap
- The bond market is overpriced.
- The Fed wants to erect barriers to exit.
- The exit will turn into a stampede.
- The Unfriendly Skies
Detroit Broke City
Aug. 2, 2013 • 64 Comments
The Golden Cycle
Jul. 1, 2013 • 16 Comments