The illusion that the global economy could effortlessly add trillions in debt to fund living large forever was based on a brief historical anomaly of zero interest rates enabled by low inflation that was never sustainable and the eventual consequences on supply, demand, risk and price discovery are finally visible.
Read More »Master Sentiment Index Says Inflation & Bear Market To End Soon
The Fed rate hikes will bring an end to inflation quickly and even bring about some deflation and they will quickly reverse their actions and, by that time, the market will be 25% to 50% higher.
Read More »6 Ways the Super-Strong USD Could Hurt the World Economy
The US dollar has been on a major surge against major global currencies in the past year, recently hitting levels not seen in 20 years and, as the world’s reserve currency, such changes in its value have implications for the entire global economy. Below are five of the main ones.
Read More »“Greater Fools” Driving USD Higher
The U.S. has the highest inflation in 40 years, and yet it also has the strongest dollar in 20 years. How can that be? How can the dollar be so weak and yet be so strong at the exact same time? [This article] tries to make sense of this tale of two dollars.
Read More »Rising Interests Are The Pin That Burst the Global Housing Bubble
Interest rates are rising to cool inflation and remove home buyer stimulus kicking off a global real estate correction.
Read More »The Idea Of A “soft landing” Is Impossible – Here’s Why
There is no easy solution. There is no possible painless normalization path. Powell will have to choose between the risk of a global financial meltdown or prolonged inflation.
Read More »Dalio: Fed Can’t Fight Inflation Without Major Economic Weakness
It is commonly said that the Fed needs to tighten to fight inflation, which will make things good again once it gets inflation under control. I believe this is both naïve and inconsistent with how the economic machine works. Here's why.
Read More »An “economic hurricane” is coming!
Between soaring inflation, falling wages, slowing economic growth, and a Fed bent on tightening monetary policy, there is a storm on the horizon. The magnitude, timing, and location of the “economic hurricane” are still anyone’s best guess.
Read More »Central Bank Digital Currencies; What Are They?
Because many countries are developing CBDCs, and some have even implemented them, it is important to understand what they are and what they mean to society and this article does just that.
Read More »Federal Spending as % of GDP Remains Remarkably Stable @ 20.8%
Although one often hear assertions about how federal spending or federal taxes have been climbing out of control for years or decades, the actual spending and taxing totals for the federal government have been remarkably stable for a half-century
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