Tag Archive: Finance

The Swiss National Bank Owns $80 Billion In US Stocks – Here’s The Catch

2017-07-03

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2017-07-03

Switzerland is a small country of just 8 million people, but they make an outsized impact on economics and finance and money. Because Switzerland is considered a safe haven and a well-run country, many people would like to hold large amounts of their assets in the Swiss franc. This makes the Swiss franc intolerably strong for Swiss businesses and citizens. So the Swiss National Bank (SNB) has to print a great deal of money and use nonconventional...

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Shrinkflation – Real Inflation Much Higher Than Reported

2017-06-29

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2017-06-29

Shrinkflation
600 new words entered our official lexicon this week as the Oxford English Dictionary announced the latest new additions to their online records.

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Goldman, Citi Turn Positive On Gold – Despite “Mysterious” Flash Crash

2017-06-28

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2017-06-28

Gold in USD, June 2017
Gold in USD - 1 Week - Massive selling at 0400 EST when U.S. markets closed and thin trading amid holidays in Muslim countries including Turkey, Singapore and Malaysia. - Mystery is that "fat fingers" in gold market are always sell trades that push prices lower

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Central Banks Buying Stocks Have Rigged US Stock Market Beyond Recovery

2017-06-27

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2017-06-27

Central banks buying stocks are effectively nationalizing US corporations just to maintain the illusion that their “recovery” plan is working because they have become the banks that are too big to fail. At first, their novel entry into the stock market was only intended to rescue imperiled corporations, such as General Motors during the first plunge into the Great Recession, but recently their efforts have shifted to propping up the entire stock...

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New Gold Pool at the BIS Switzerland: A Who’s Who of Central Bankers

2017-06-13

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2017-06-13

Bank for International Settlements (BIS) Headquarters
A central bank Gold Pool which many people will be familiar with operated in the gold market between November 1961 and March 1968. That Gold Pool was known as the London Gold Pool.

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Is the Central Bank’s Rigged Stock Market Ready to Crash on Schedule?

2017-06-12

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2017-06-12

We just saw a major rift open in the US stock market that we haven’t seen since the dot-com bust in 1999. While the Dow rose by almost half a percent to a new all-time high, the NASDAQ, because it is heavier tech stocks, plunged almost 2%.

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Necessity is the Mother of Invention – Retirees Desperate Reach for Yield

2017-06-10

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2017-06-10

Ben Bernanke’s creativity inspired a generation of economists and central bankers. QE, ZIRP and NIRP established a new class of economics that is mathematically sound but practically disastrous. Billions of dollars were transferred from savers to investors to boost the economy, but the wizards of quant forgot that something has to give. In this case, it was the formation of a pension crisis that threatens the golden years of millions of retirees...

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Negative Rates: The New Gold Rush… For Gold Vaults

2017-06-09

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2017-06-09

Negative interest rates and the populist uprising that spurred the UK to vote for Brexit and Americans to elect Trump has helped reignite a rush into physical safe haven assets like gold and silver, which however has led to a shortage of safe venues where to store the precious metals (unlike bitcoin, gold actually has a physical dimension).

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How The US Government Let A Giant Bank Pin A Scandal On A Former Employee

2017-05-12

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2017-05-12

UBS Zurich
The following is an excerpt from David Enrich's nonfiction financial and legal thriller The Spider Network: The Wild Story of a Math Genius, a Gang of Backstabbing Bankers, and One of the Greatest Scams in Financial History. (Read part of the prologue here; another excerpt can be found here) This excerpt takes place shortly after the accused mastermind of the Libor scandal, Tom Hayes, is fired from his job at Citigroup, kicking government...

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SocGen: Beware The Ghost Of 1993

2017-05-12

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2017-05-12

The Vix is at its lowest level since 1993, Commodities and rates are dragging the AUD down
With Monday's financial media blasting reports about the VIX collapse to levels not seen in 24 years, going all the way back to 1993, it is worth remembering that the near record low volatility collapse of 1993 did not end well either for stocks, or for bonds, with the great 1994 bond tantrum. Reminding us of that, and of broader implications for the cross-asset space, is SocGen's Kit Juckes with his overnight note, "The ghost of 1993"

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A Problem Emerges: Central Banks Injected A Record $1 Trillion In 2017… It’s Not Enough

2017-05-11

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2017-05-11

Aggregate Balance Sheet Of Large Central Banks, 2000 - 2017
Two weeks ago Bank of America caused a stir when it calculated that central banks (mostly the ECB & BoJ) have bought $1 trillion of financial assets just in the first four months of 2017, which amounts to $3.6 trillion annualized, "the largest CB buying on record."

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“Mystery” Central Bank Buyer Revealed, Goes On Q1 Buying Spree

2017-05-08

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2017-05-08

Nikkei 225 vs. BoJ ETF Holdings 2011-2017
In the first few months of the year, a trading desk rumor emerged that even as institutional traders dumped stocks and retail investors piled into ETFs, a "mystery" central bank was quietly bidding up risk assets by aggressively buying stocks. And no, it was not the BOJ: while the Japanese Central Bank's interventions in the stock market are familiar to all by now, and as we reported last night on sessions when the "the BoJ comes in big, the...

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Where There’s Smoke…

2017-04-25

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2017-04-25

Evolution of Atlanta Fed GDP, December 2016 - April 2017
Central banks around the world have colluded, if not conspired, to elevate and prop up financial asset prices. Here we'll present the data and evidence that they've not only done so, but gone too far. When we discuss elevated financial asset prices we really are talking about everything; we're talking not just about the sky-high prices of stocks and bonds, but also of the trillions of dollars’ worth of derivatives that are linked to them, as well...

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Credit Suisse Offices Raided In Multiple Tax Probes: Gold Bars, Paintings, Jewelry Seized

2017-04-01

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2017-04-01

Credit Suisse has confirmed that the Swiss bank, some of its employees and hundreds of account holders are the subjects of a major tax evasion probe launched in UK, France, Australia, Germany and the Netherlands, setting back Swiss attempts to clean up its image as a haven for tax evaders.

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SNB Spent $68 Billion On Currency Manipulation In 2016

2017-03-24

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2017-03-24

SNB Intervention, 2010 - 2017
While Donald Trump has repeatedly expressed his displeasure with China for manipulating its currency, he appears to have recently figured out that over the past 2 years Beijing has been spending hundreds of billions in dollar to strengthen, not weaken, the Yuan and to halt the ~$1 trillion in capital flight from China.

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Digital Gold – For Now Caveat Emptor

2017-03-20

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2017-03-20

Bitcoin Gold, 2012 - 2017
Bitcoin surpasses gold price - a psychological and arbitrary headline. Royal Mint blockchain gold asks you to trust in the UK government. Royal Canadian Mint and GoldMoney blockchain product asks you to trust in government and the technology, servers, websites etc of the providers. Invest in a gold mine using cryptocurrency - but wait until 2022 for your gold and trust the miners that it is there. Blockchain and gold will likely make a "good...

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CS and UBS Tell Wealthy Retail Clients To Buy Stocks…”Here, Can You Please Hold This Bag”

2017-03-17

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2017-03-17

BofA Client, 2008 - 2017
Warren Buffett has frequently advised aspiring investors to take a contrarian view on markets and "be fearful when others are greedy and be greedy when others are fearful." In fact, being dismissive of the wall street 'herd mentality' has resulted in some of Buffett's most successful trades over the years including his decision to load up on bank stocks during the 'great recession'.

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Importance of Hiding Gold Creatively and Securely If Taking Delivery

2017-03-04

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2017-03-04

Gold Interview
Why gold retains value? Interesting unknown gold facts. "Prepare your jaws for a sizeable drop!" History, finite, rare and peak gold. "It is beautiful to look at...". 'Heavy metal' - Thud sound of a gold bar (kilo). 'Going for gold' - Olympic gold medals to Chelthenham 'Gold Cup'.

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Video: Interest Rate Differentials Increasing Financial Market Leverage To Unsustainable Levels

2017-02-25

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2017-02-25

We discuss the rate differentials between Switzerland, Britain, Europe, Japan and the United States and how this Developed Financial Markets carry trade is incentivizing excessive risk taking with tremendous leverage and destabilizing the entire financial system in the process in this video.

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Switzerland’s Gold Exports To China Surge To 158 Tons In December

2017-01-28

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2017-01-28

Silk Road Gold Demand, India Imports, Turkey Imports, Russian Reserves, China SGE Withdrawals
Switzerland's Gold Exports To China Surge To 158 Tonnes In December. Switzerland's gold bullion exports to China saw a huge jump in December, climbing to 158 tons versus a much lower 30.6 tons in November - a jump of 416%.

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