Silver as an investment

Category Archives: deleveraging

China Beige Book Warns Economic Slowdown Has Begun

When it comes to the global economy, few things matter as much as China, the trajectory of its economy and especially the pace and impulse of its credit creation, which is ironic because virtually all data coming out of China is fabricated and manipulated, and thoroughly untrustworthy, either on purpose or “by accident.” The latest […]

Doug Noland: There Will Be No Way Out When This Market Bubble Bursts

Authored by Adam Taggart via PeakProsperity.com, This week Doug Noland joins the podcast to discuss what he refers to as the "granddaddy of all bubbles". Noland, a 30-year market analyst and specialist in credit cycles, currently works at McAlvany Wealth Management and is well known for his prior 16-year stint helping manage the Prudent Bear Fund. […]

China Deleveraging Hits Corporate Bonds As Cascade Effect Begins

Following the market lockdown during October’s Party Congress, many commentators were disturbed by the continued rise in Chinese government bond yields as we returned to “business as usual”, with the 10-year rising to 4%. At the beginning of this month, we discussed the sell-off (see “China: Shadow Bank Inflows Are Critical To Sustain The Ponzi…But […]

How Big Of A “Deleveraging” Are We Talking About?

Authored by Lance Roberts via RealInvestmentAdvice.com, Last week, I discussed the issue of debt and why “people buy payments.” This article generated much discussion and several emails including the following. “You argue that rising debt levels lead to slower economic growth, but what if it is slower growth leading to rising debt levels?” This is […]

“We’re All A ‘Walking Illinois’ Now”

Authored by James Howard Kunstler via Kunstler.com, Who needs Russia when the Tweety-Bird-in-Chief is hacking his own presidency into a global joke? Or at least it might be a joke if the USA weren’t such a menace to international order, and to itself, by the way. Interestingly, the 25th amendment allows for the removal of […]

“This Is Probably Just The Beginning” – Chinese Banks Are In Big Trouble

That's not supposed to happen… With the crackdown on financial system leverage underway, Chinese banks (and securities firms) are in big trouble. As we noted previously, China's bond curve is inverted, yields are surging, and Chinese regulatory decisions shutting down various shadow-banking pipelines has crushed securities firms' stocks. However, as Bloomberg points out, as China’s […]

Kyle Bass Warns “All Hell Is About To Break Loose” In China

China's credit system expanded "too recklessly and too quickly," and "it's beginning to unravel," warns Hayman Capital's Kyle Bass. Crucially, Bass notes that ballooning assets in Chinese wealth management products are another sign of a looming credit crisis in the nation. "Some of the longer-term assets aren't doing very well," Bass said on Bloomberg TV […]

Soaring Global Debt Sets Stage For “Unprecedented Private Deleveraging”

Authored by John Rubino via DollarCollapse.com, The UK’s Telegraph just published an analysis of global debt that pretty much sums up the coming crisis. Here’s an excerpt with a couple of the more hair-raising charts: Global debt explodes at ‘eye-watering’ pace to hit £170 trillion Global debt has climbed at an “eye-watering” pace over the […]

Will Yesterday’s Market Selloff Turn “Emotional”: Here Are The Key Indicators RBC Is Looking At

Yesterday’s sharp S&P selloff, the largest of 2017, and the first time the market dropped by more than 1% in 110 trading days, may be just the beginning: that is the troubling thesis presented by JPM’s quant Marko Kolanovic, who as we quoted yesterday, warned that “following Friday’s option expiry, the gamma imbalance shifted towards […]

In Latest Tightening Move, China To Cut Money Supply Growth To 12%

For a majority of China watchers, while Beijing’s goalseeked GDP reports are largely dismissed as politburo propaganda, most of the attention falls on the PBOC and banking sector’s credit creation, and particularly, how this translates into broad money supply, or M2, growth: after all, in a nation which has roughly $35 trillion in bank assets, […]