The US dollar (DXY) continues to target 98 In Q1 2021 USD bottomed amid the usual suspects proclaiming “dollar collapse!” and “death of the dollar!” and inflation as far as the eye can see. Zero Hedge led the charge. As the inflation trades labored into the spring USD formed a neckline (black dashed), dropped for an interim (at least) last hurrah by the inflation boosters, … Continue reading Uncle Buck continues to rampage
US Government to put on debt ceiling Kabuki Theater Debt is the fundamental underpinning. How scary is that? Not very since it has been the case for decades in what I call the age of Inflation onDemand. Periodically though, the government puts on this Kabuki dance drama as if there is any chance that they would change the mechanics of the financial system and economy … Continue reading More debt ceiling drama
Steve Saville has an interesting blog post about… The big differences this time The post centers around the COVID-19 pandemic vs. the well known Spanish Flu of 1918 and the less well known Asian Flu of 1958. Specifically, it focuses on monetary policy in the absence of a gold standard – under which those two pandemics took place – and the difference in policy response … Continue reading Saville on the Big Differences ‘This Time’
The Continuum (monthly 30yr yield with the 100 month EMA ‘limiter’) simply states that the economy was weakening, as were inflation expectations, before 2020. In early 2020 we got a real deflationary jolt from which asset markets are still clawing back, with full frontal inflationary support from a Federal Reserve desperate to keep asset owners whole (and further enriched) and to further punish savers and … Continue reading The Big Picture Continuum
On the good ship Lollipop Its a nice trip, In to bed you hop, And dream away, On the good ship Lollipop –Shirley Temple And so, to everyone’s complete lack of surprise the USS Good Ship Lollypop sails on because well, if there’s one thing that Republicans and Democrats can agree on it’s that this whole enchilada comes unraveled without the one thing that is … Continue reading The Good Ship Lollypop Will Continue Sailing on a Sea of Debt
Both compliments of MarketWatch, this morning’s Debt Zombies article I highlighted was something that I thought highly of, obviously. The writer is no b/s and clear. The “debt Zombies” theme was appropriate to an honest and rational view of what’s going on beneath the surface of the “fantastic” economy. From the same media source however, comes the goofy conclusion that Fed rate cuts will help … Continue reading And Now a Word From a Zombie…
Isn’t that how it goes? A society (or in this case several developed societies now competing in the currency war) collectively spends more than it has saved and individually its people attain a level of hubris that has taken them right off the balance sheet and down a rabbit hole of wonderment, magic and… D.E.B.T. Here’s a well done opinion piece form MarketWatch… The Fed … Continue reading Debt Zombies; the Very Essence of an Inflationary Crack-Up-Boom
A chart by Callum Thomas showing projected credit growth based on easing credit standards is in line with a boom, and an inflationary one at that. See Credit Growth About to Surge. I was talking with a really cool gentleman who runs a gold oriented hedge fund a couple days ago and we both agreed that deflation is the favored outcome or from my perspective, … Continue reading Crack Up Boom?
Keith Weiner’s reports, usually beginning with some macro commentary and ending with the supply/demand fundamentals of gold and silver, are posted each Monday over at Biiwii. Today it’s this one… A Dire Warning, Report 29 July 2018 I think his tongue is somewhat in cheek with the title because he is not the type of gold bug to rouse the rabble, as is the tradition. … Continue reading Monetary Metals: Weiner on His Game This Week
Yes, it is Keith Weiner again, slightly blowing my mind with the way he looks into central banking, debt, the US dollar and gold and silver. Reading a gold analyst like this makes me chuckle about 90% of the “gold analyst” community. I mean, I am no expert either but at least I am the guy parroting “value vs. price” when it comes to gold. … Continue reading “Slaves to Government Paper” & Gold and Silver Supply/Demand Funda
“There is quite obviously some serious financial stress manifesting in the data…” That is not me, the caution-toned risk manager writing. That is a quote from the first paragraph of a report (kindly forwarded by a subscriber) that goes on to imply a credit contraction in the making. In an age of debt manipulation for economic growth, a credit contraction means an economic contraction out … Continue reading Credit Managers Index: Credit Contraction
Amidst the din of every pitch man with an opinion on the markets (and these days everybody’s a genius with an opinion) the big picture barometer to global economic contraction moves forward. ‘Yeh but…’ say the pitch men, ‘the USA is fine. You yourself have taken heat for calling the economy strong. What’s your fancy macro chart got to say about that?’ This… Subscribe to … Continue reading Amid the Noise…
I first became activated to start a website in part because of David Walker, the former top financial cop at the GAO. Something was terribly wrong with America’s chronic and systematic debt accumulation and Mr. Walker used to write about it consistently at the GAO website. Along with this was a character down in the Rabbit Hole who scared me so thoroughly that I became … Continue reading Filter the Hysteria
A good article (thanks Tom) about a good man trying to get out ahead of a rising interest rate world; India’s head of the RBI, who is raising interest rates while the US Fed keeps things stable for the rest of the world to start deleveraging. Is this really what is in play, a world setting up to clean up its debts and inflationary excesses?