Tag Archive: European central bank

Gold Rises In All Currencies In 2016 – 9 percent In USD, 13 percent In EUR and 31.5 percent In GBP

2017-01-06

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2017-01-06

Gold Price Performance
Gold gains in USD, GBP, EUR, CAD, AUD, NZD, JPY. Gold gains in CNY, INR & most emerging market currencies. Gold surges 31.5% in British pounds after Brexit shock. Gold acted as hedge and safe haven in 2016 … for those who need safe haven. Furthers signs of market having bottomed and bodes well for 2017. What drivers will gold respond to in 2017? EU elections and contagion risk, Geo-politics, terrorism, war and cyber war. Outlook for gold good...

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Nomi Prins’ Political-Financial Road Map For 2017

2017-01-05

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2017-01-05

2017 Just Ahead
As tumultuous as last year was from a global political perspective on the back of a rocky start market-wise, 2017 will be much more so. The central bank subsidization of the financial system (especially in the US and Europe) that began with the Fed invoking zero interest rate policy in 2008, gave way to international distrust of the enabling status quo that unfolded in different ways across the planet.

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Money, Markets, & Mayhem – What To Expect In The Year Ahead

2017-01-05

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2017-01-05

Houses
If you thought 2016 was full of market maelstroms and geopolitical gotchas, 2017's 'known unknowns' suggest a year of more mayhem awaits... Here's a selection of key events in the year ahead (and links to Bloomberg's quick-takes on each).

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A Biased 2017 Forecast, Part 1

2017-01-05

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2017-01-05

hind-sight
A couple weeks ago I was lucky enough to see a live one hour interview with Michael Lewis at the Annenberg Center about his new book The Undoing Project. Everyone attending the lecture received a complimentary copy of the book. Being a huge fan of Lewis after reading Liar’s Poker, Boomerang, The Big Short, Flash Boys, and Moneyball, I was interested to hear about his new project.

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Swiss 10 year bond yields still negative, but approaching zero.

2016-12-12

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2016-12-12

Treasury Yields
The global bond rout returned with a bang, sending 10Y US Treasury yields as much as six basis points higher to 2.53%, the highest level in over two years. The selloff happened as oil prices surged by more than 5% following Saturday's agreement by NOPEC nations agreed to slash production, leading to rising inflation pressures. At last check, the 10Y was trading at 2.505%, up from 2.462% at Friday and on track for its highest close since September...

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European Central Bank gold reserves held across 5 locations. ECB will not disclose Gold Bar List.

2016-11-17

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2016-11-17

Eurozone
The European Central Bank (ECB), creator of the Euro, currently claims to hold 504.8 tonnes of gold reserves. These gold holdings are reflected on the ECB balance sheet and arose from transfers made to the ECB by Euro member national central banks, mainly in January 1999 at the birth of the Euro. As of the end of December 2015, these ECB gold reserves were valued on the ECB balance sheet at market prices and amounted to €15.79 billion.

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Recessions, Predictions and the Stock Market

2016-11-02

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2016-11-02

Only Sell Stocks in Recessions? We were recently made aware of an interview at Bloomberg, in which Tony Dwyer of Cannacord and Brian Wieser of Pivotal Research were quizzed on the recently announced utterly bizarre AT&T – Time Warner merger. We were actually quite surprised that AT&T wanted to buy the giant media turkey. Prior to the offer, TWX still traded 50% below the high it had reached 17 years ago.

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FX Daily September 8: Draghi Says Little, Door Still Open for More

2016-09-08

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2016-09-08

In the last two days, the euro moved upwards against CHF. Given that Swiss GDP was stronger than the one in the euro zone, this is surprising. But we must recognize that Draghi could be the reason. Inflation forecasts of 1.2% in 2017 and 1.8% in the euro zone would mean the ECB hikes rates maybe in 2018 or 2019. I personally do not believe it, given that wage inflation in Italy or Spain is clearly under 1%. This is lower than Swiss wage inflation...

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Two More Banks Start Charging Select Clients For Holding Cash

2016-08-19

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2016-08-19

Bank of Ireland, which is 14% owned by the State, has informed its large corporate and institutional customers that it plans to charge them a negative rate of -0.1% for deposits of €10 million or more starting in October.

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Great Graphic: Bullish Emerging Market Equity Index

2016-08-10

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2016-08-10

Liquidity rather than intrinsic value seems to be driving EM assets. MSCI EM equity index looks constructive technically. The chart pattern suggests scope for around 13% gains from here.

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No Fines for Iberia, but Remedial Action Demanded and Possible Loss of Some ESI Funds

2016-08-10

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2016-08-10

Spain and Portugal need to make some relatively small budget adjustments or will be denied some transfer payments. Spain's political situation is fluid, but another window of opportunity to break the logjam is at hand. The euro seems immune to these fiscal developments; some retracement objectives are in sight.

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European Court of Justice Ruling Weighs on Italian Banks

2016-07-19

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2016-07-19

ECJ uphold principle of bailing in junior creditors before the use of public funds. Italian banks shares snap a three-day advance. The EBA/ECB stress test results at the end of next week are the next big event.

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Hans-Hermann Hoppe: “Put Your Hope In Radical Decentralization”

2016-07-19

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2016-07-19

All major political parties in Western Europe, regardless of their different names and party programs, are nowadays committed to the same fundamental idea of democratic socialism. They use democratic elections to legitimize the taxing of productive people for the benefit of unproductive people. They tax people, who have earned their income and accumulated their wealth by producing goods or services purchased voluntarily by consumers (and of course...

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Central Bank Wonderland is Complete and Now Open for Business — The Epocalypse Has Fully Begun

2016-07-14

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2016-07-14

Summer vacation is here, and the whole global family has arrived at Central-Bank Wonderland, the upside-down, inside-out world that banksters and their puppet politicians call “recovery.” Everyone is talking about it as wizened traders puzzle over how stocks and bonds soared, hand-in-hand, in face of the following list of economic thrills:

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Who Is The “European Movement” And Why The Answer May Change How You Vote On “Brexit”

2016-06-23

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2016-06-23

The UK has to choice: Remain as sovereign state or merge it into the undemocratic United States of Europe. Big business, banks, central banks and the IMF want to excercise their power through unelected officials. And wonder who is responsible for the "European Movement."

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The British Referendum And The Long Arm Of The Lawless

2016-06-23

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2016-06-23

Kings have long arms, many ears, and many eyes.” So read an English proverb dated back to the year of our Lord 1539. And thus was born an idiom that today translates to the very familiar Long Arm of the Law. It stands to reason that such a warning was born of feudal times when omnipotent and seemingly omnipresent monarchs personified the law.

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Brexit: Switzerland Prospers outside the EU, why Can’t the UK?

2016-06-10

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2016-06-10

As the June 23rd BREXIT (the UK-wide referendum to leave the EU) vote draws near, the polls indicate a close result. Those urging a vote for the UK to remain inside the EU are suggesting increasingly...

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Three unintended consequences of NIRP

2016-05-24

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2016-05-24

Central bankers use low or negative interest rates so that it leads to more investment. For them interest rates are a consequence of the currently very low inflation rates. Patrick Watson argues differently: Falling prices are a consequence of low interest rates.

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The Twilight Of The Gods (aka Central Bankers)

2016-05-10

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2016-05-10

The current financial market volatility increasingly reflects loss of faith in policy makers. Celebrity central bankers are learning that they must constantly produce new miracles for their followers.

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St. Louis Fed Slams Draghi, Kuroda – “Negative Rates Are Taxes In Sheep’s Clothing”

2016-05-09

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2016-05-09

"At the end of the day, negative interest rates are taxes in sheep’s clothing. Few economists would ever claim that raising taxes on households will stimulate spending. So why would they think negative interest rates will?" Those are the shocking wor...

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