Last week FOMC Chair Jerome Powell and company did, essentially nothing, at their June meeting. They held interest rates at 0.25%, did not expand QE nor did they indicate any changes. This wasn’t what the market wanted, as the bond were pushing the Fed to take rates negative and further open up the liquidity spigots….
There is a serious health crisis which must be duly resolved. And this is a number one priority. But there is another important dimension which has to be addressed. Millions of people have lost their jobs, and their lifelong savings. In developing countries, poverty and despair prevail. While the lockdown is presented to public opinion as the sole means to resolving…
There’s no doubt that the Coronavirus is a serious infection that can lead to severe illness or death. There’s also no doubt that ‘virus hysteria’ has been used for other purposes. Wall Street, for example, has used virus-panic to advance its own agenda and get another round of trillion dollar bailouts. In fact, it took…
Debt matters. In Washington’s swamp, no one CARES about debt. Big government has become more addicted to debt than drug addicts to a pipe full of crack. In October 2019, the International Monetary Fund downgraded its global growth forecast with a stark warning for 2020 that “Global growth will fall to the lowest levels since…
Back in August I penned a post called, “The Battle of the ‘Flations Has Begun.” With an historic 2000 point drop in the Dow Jones Industrials on Monday in response to Saudi Arabia and Russia declaring an oil price war on, well, everyone it’s clear that one of the two ‘flations, deflation, has won out….
In modern capitalism, governments routinely borrow money. They do this to finance budget deficits that occur when governments raise less in taxes than they spend. Governments also borrow to invest in long-term projects of economic development. The swindling occurs when the lenders and borrowers—usually private financiers and career politicians—negotiate loans that serve their own particular…
