Posts Tagged ‘Central Banks’

  • The Fed Could Become Investors’ Worst Enemy

    11.10.2017 • United StatesComments Off on The Fed Could Become Investors’ Worst Enemy

    Neither Republicans nor Democrats will show any interest in fiscal restraint; deficit spending will increase. The Fed won't force restraint; instead, it will facilitate more deficit spending. This train is going to be running wide open until it flies off the

  • Why You Should Buy Gold Now Before the Price Skyrockets

    27.09.2017 • United StatesComments Off on Why You Should Buy Gold Now Before the Price Skyrockets

    Higher inflation - the only way to keep America from going broke. Unfortunately, it will also make your money worth less. Now is a perfect time to buy some gold.

  • Economists Are Wrong – Crises Are Part of Our Economic DNA

    22.09.2017 • SwitzerlandComments Off on Economists Are Wrong – Crises Are Part of Our Economic DNA

    For economists, downturns in the market have no use in particular ... They arise due to "dysfunctions" in the system. The economist sees himself as a protector of the prosperity ... by manufacturing growth without retreat.

  • You Shouldn’t Believe the Fed’s Empty Threats

    22.09.2017 • United StatesComments Off on You Shouldn’t Believe the Fed’s Empty Threats

    The Fed announced that it aims to start gradually unwinding QE. With baby steps… of $10 billion a month. Let’s see. That’s $120 billion a year. At that pace, how long would it take to get back to “normal”?

  • The ECB Is Quietly Making it Legal to Lock You Out of Your Bank

    09.08.2017 • SwitzerlandComments Off on The ECB Is Quietly Making it Legal to Lock You Out of Your Bank

    This industry insider is worried about a problem that has just come out of the ECB: a project to freeze savings accounts in the event of a financial emergency.

  • The Trump Train Is Stopping in France on Friday

    10.07.2017 • SwitzerlandComments Off on The Trump Train Is Stopping in France on Friday

    We are just a few days away from Bastille Day, and Macron is expecting a certain President of the United States as a guest. Trump's presence is the first of its kind in 30 years...but why?

  • The ECB Has Spent $2.6 Trillion of Your Money

    29.06.2017 • SwitzerlandComments Off on The ECB Has Spent $2.6 Trillion of Your Money

    The European Central Bank has begun to buy back government debts in the Eurozone in order to give a "boost" to the economy, reducing interest rates to the lowest levels ever seen...but where did all of this money come from?

  • Gold Value Up as Faith in Banks Deflates

    22.06.2017 • FranceComments Off on Gold Value Up as Faith in Banks Deflates

    Bloomberg suggested that gold value would rise without inflation because confidence in central banks would vanish. Well, right now there is no inflation, and gold is indeed rising...

  • A New Rate Hike Would Break the Bull

    21.06.2017 • SwitzerlandComments Off on A New Rate Hike Would Break the Bull

    The Fed may push rates up again before the end of the year, given that the market continues to climb despite their latest increase. However, insiders believe that a new rate hike could rock the system to its fall...

  • What Happens When The Fed Stops Funding Your Bonds?

    19.06.2017 • SwitzerlandComments Off on What Happens When The Fed Stops Funding Your Bonds?

    Bonds are expensive, partly because Central Banks spend billions a day to support them. As a result, stock market valuations depend on these interventions...But what happens if the banks stop supporting them?

  • Higher Rates Rallied the Dollar and Wrecked the Euro

    15.06.2017 • SwitzerlandComments Off on Higher Rates Rallied the Dollar and Wrecked the Euro

    The ECB intends to keep its rate constant in the face of the Fed's increase. The result: The euro has gone down against the dollar, and other currencies have exploded...

  • What Will Happen if the Central Bank Collapses?

    12.06.2017 • United StatesComments Off on What Will Happen if the Central Bank Collapses?

    The performance of tech giants closely follows the size of central bank assets...does this mean that the market is addicted to central bank generosity?

  • Don’t Buy Japanese: Watch the Widowmaker

    19.05.2017 • United KingdomComments Off on Don’t Buy Japanese: Watch the Widowmaker

    Bernie Madoff’s ponzi scheme collapsed for one primary reason – he had more investors exiting his scheme than entering. As soon as this happened it was over. According to this most recent census, the Japanese population peaked within the last few years

  • The ECB is Now the World’s Biggest Holder of Unpaid Debt

    17.05.2017 • United StatesComments Off on The ECB is Now the World’s Biggest Holder of Unpaid Debt

    Together, the Fed, the ECB, and the Bank of Japan now own about $12.5 trillion in assets.  What happens when they reclaim what they put in... when they un-prime the pump… when they reverse the great stock market liquidity boom of 2009–2017? Ai yi

  • The 5 Problems of Central Banking and How to Profit From Them

    12.05.2017 • United KingdomComments Off on The 5 Problems of Central Banking and How to Profit From Them

    Central bankers are tasked with making our economy run smoothly. But what if central bank policies are the cause of economic problems, not the solution to them? Let’s take a look at the flaws of central banking and how they turn into investment

  • Central Bankers Straddle a Tightrope

    05.05.2017 • United KingdomComments Off on Central Bankers Straddle a Tightrope

    On one side of the wire, they face deflation. On the other side of the wire is something almost as bad – inflation. But it’s the destination that we’ll focus on today. Where does the wire actually lead us?

  • The Absurdity of Central Banks

    02.05.2017 • United KingdomComments Off on The Absurdity of Central Banks

    We all accept central banks and their inflation targets blindly, as though they are a cog in the wheel of the economy. But in the UK, we used to control coal, electricity and many other prices that would seem absurd now. Why doesn't this absurdity apply to

  • Who is John Galt?

    27.04.2017 • United KingdomComments Off on Who is John Galt?

    That's a good answer to where we’re heading. Our world is growing more and more similar to the world of Ayn Rand’s Atlas Shrugged. Stability and the welfare of all is the justification for a government-controlled financial sector.

  • Are You Safe with Yellen at the Wheel?

    12.04.2017 • United StatesComments Off on Are You Safe with Yellen at the Wheel?

    In a recent speech, the Fed Chair likened the economy to a car. Currently, she says, the Fed is giving it some gas, but not so much that they're "pushing down hard on the accelerator.” This metaphor is absurd. If the Fed could increase the speed of the

  • Reserve Bank of Australia Votes to Leave Interest Rates Alone

    06.04.2017 • AustraliaComments Off on Reserve Bank of Australia Votes to Leave Interest Rates Alone

    The RBA cannot defuse this debt bomb… it’s already packed with $3.4 trillion of private sector TNT. The best they can do is to stop more debt explosives being added. The only way this can happen is to significantly increase the cost of debt — a shock

  • Harvard Economists Build Case for the War on Cash

    24.03.2017 • TechComments Off on Harvard Economists Build Case for the War on Cash

    By Chris Lowe – Inner Circle (USA) – “They’re coming for your money. Every last penny.” That may sound like a weird, tinfoil-hat type of thing to say. But it’s exactly what London-based Inner Circle analyst Ben Traynor has been warning his

  • Soros’s Secret Weapon: the Impossible Trinity

    21.03.2017 • Central BanksComments Off on Soros’s Secret Weapon: the Impossible Trinity

    Yesterday we looked into how tightening monetary policy is just stimulus in disguise. Even if central banks raise interest rates, as they did in the US recently, they’re still spiking the economic punch bowl. We’re practically a bunch of drunks!The

  • The Fed’s Broken Record Stimulus Package

    16.03.2017 • Central BanksComments Off on The Fed’s Broken Record Stimulus Package

    Janet Yellen gave the nod to increase official US interest rates by a 0.25%, taking the cash rate to a range of 0.75–1.0%. The Fed is using the same tried and failed formula it’s relied on previously to stimulate the economy…and, this time, it’s

  • How Misguided Interest Rates Are Ruining Europe

    13.03.2017 • Central BanksComments Off on How Misguided Interest Rates Are Ruining Europe

    Europe got the European Central Bank and its one-size-fits-all policy instead, which was supposed to dampen the booms and soften the busts. But if Belgium is stuck with Greece and Portugal’s interest rate it will do the exact opposite.