Category Archives: Monetary Economics
Why Deutsche Thinks 2017 “Was The Most Boring Year Ever”
As part of the macro forecast in his just released 2018 Credit Outlook (more on that in a subsequent post), DB’s Jim Reid first looks back at the almost concluded 2017 and muses that “whichever way you cut it, it’s likely that 2017 will go down as one of, if not the least, volatile year […]
“This Is The Catalyst For Everything”: Deutsche Sees Only Two More Rate Hikes Before The Fed Loses Control
In his latest weekend note, One River CIO Eric Peters discussed, among other topics, what he thought would be the nightmare scenario if not for the current, then certainly next Fed chairman: a world in which despite the Fed’s best intentions (and we use the term loosely), the Fed continued to hike rates without any […]
Science Tells Us This Is All True
Authored by Simon Black via SovereignMan.com, On April 30, 1934, under pressure from Italian-American lobby groups, the United States Congress passed a law enshrining Columbus Day as a national holiday. President Franklin Roosevelt quickly signed the bill into law, and the very first Columbus Day was celebrated in October of that year. Undoubtedly people had […]
Gallo Warns: A Volatility Trap Is Inflating Market Bubbles
Authored by Alberto Gallo via Bloomberg.com, A number of markets show not only elevated valuations, but also irrational investor behavior… Investors face a conundrum: The world is experiencing a record synchronous growth phase, but an increasing number of assets are becoming overvalued just as fundamental risks lurk in the background. Should investors continue to dance […]
Robots Have Ushered In An Era Of “Cocaine Deflation” On Wall Street
Authored by Brazilian Police have stumbled into a cocaine workshop with robots packing 150,000 cocaine baggies per day. The era of cocaine deflation is upon Wall Street, as drug lords in Brazil are betting on automation to ramp up production. Source: StockBoardAsset Perhaps this 'automation' is why Brazil's cocaine prices have suffered such a deflationary […]
“Get Totally Out Of Stocks” – Charles Nenner Warns “US Social Unrest Is Bigger Problem Than North Korea”
In this extensive interview with USAWatchdog.com's Greg Hunter, Charles Nenner, renowned financial and geopolitical analyst, has been saying for a few years that “there would be no market crash until the end of 2017,” and “if people were not positioned correctly, they could lose everything.” It’s nearing the end of 2017, and Nenner says, “I […]
David Rosenberg: “This Is The Single Most Important Thing For The Market Over The Next Decade”
Several years ago, Gluskin Sheff’s superstar economist (previously at Merrill), David Rosenberg (in)famously flipped from bear to bull, predicting what amounts to a victory for the Fed: a jump in (wage) inflation, a burst in economic growth, and an overall selloff in that most deflation-dependent asset, the US Treasury. None of those happened, and while […]
Meet The Three Headed Debt Monster That’s Going To Ravage The Economy
Authored by EconomicPrism's MN Gordon via Acting-Man.com, Mass Infusions of New Credit “The bank is something more than men, I tell you. It’s the monster. Men made it, but they can’t control it.” – John Steinbeck, The Grapes of Wrath Something strange and somewhat senseless happened this week. On Tuesday, the price of gold jumped over […]
Less Than Zero: How The Fed Killed Saving
Authored by Adam Taggart via PeakProsperity.com, The other day I was in my local branch of a Too Big To Fail bank where I have a few accounts. One of them is a savings account in which I keep some of my "dry powder" cash stored. It had been a while since I had checked […]