Tag Archive: Janet Yellen

Bi-Weekly Economic Review

2017-02-16

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2017-02-16

ScoreCard
The economic data since my last update has improved somewhat. It isn’t across the board and it isn’t huge but it must be acknowledged. As usual though there are positives and negatives, just with a slight emphasis on positive right now. Interestingly, the bond market has not responded to these slightly more positive readings with nominal and real yields almost exactly where they were in the last update 3 weeks ago. In other words, there’s no reason...

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The US Dollar Is Now Overvalued Against Almost Every Currency In The World

2017-01-24

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2017-01-24

World Map
In September 1986, The Economist weekly newspaper published its first-ever “Big Mac Index”. It was a light-hearted way for the paper to gauge whether foreign currencies are over- or under-valued by comparing the prices of Big Macs around the world. In theory, the price of a Big Mac in Rio de Janeiro should be the same as a Big Mac in Cairo or Toronto.

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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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As Central Bankers Spin

2016-12-25

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2016-12-25

I know that I resemble the old guy in this cartoon, standing by helplessly as I watch central bankers experiment with the global economy. Bubbles are blown, again, in several asset classes. Negative interest rates have become an acceptable concept, as if they are just words and have no real economic meaning.

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How Trump Can Bring Outside-the-Box Thinking to Bear on the Fed

2016-12-09

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2016-12-09

Federal Reserve Building
President-elect Donald Trump will soon have the opportunity to put his stamp on the Federal Reserve. And that is making the elite body of central bankers nervous. On the campaign trail, Trump harangued Fed chair Janet Yellen for pumping up financial markets with cheap money – accusing the Obama appointee of being politically motivated. Trump also called for the Federal Reserve to be audited.

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Gold Bull Market Remains Intact – Long Term Fundamentals Outweigh Short Term Market Gyrations

2016-11-22

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2016-11-22

Kool-AID
In early 2016 gold had a big bull run. The precious metal rose close to 25% this year, pushed higher in a summer rally that peaked on July 10th. Gold experienced a bumpy ride over the remainder of the summer though, as investors became increasingly concerned about a potential rate hike by the Federal Reserve. Uncertainty returned to gold market and has intensified further since then.

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Did President-Elect Trump Just Inadvertently Kill The Golden Goose?

2016-11-19

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2016-11-19

Non-financial Corporate Business
President-Elect Trump may have just unwittingly sowed the seed of an equity market draw-down which will send even more protesters into the streets of America. Donald Trump’s stated economic policies are clearly pro-growth and if he manages to implement his pro-business, anti-regulation agenda, in the longer term they have the potential to surpass the bold and successful initiatives of Ronald Reagan.

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SMI up on post Trump rally

2016-11-18

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2016-11-18

SMI vs. MSCI World
Swiss stocks continued to rise this week, in line with other global stocks thanks to a strong performance from financials which gained as investors weighted the prospects of higher interest rates in the US.

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We’re All Hedge Funds Now – Central Banks Become World’s Biggest Stock Speculators

2016-11-08

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2016-11-08

CBS
At first, the idea of central banks intervening in the equity markets was probably seen even by its fans as a temporary measure. But that’s not how government power grabs work. Control once acquired is hard for politicians and their bureaucrats to give up. Which means recent events are completely predictable.

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Jim Grant Puzzled by the actions of the SNB

2016-10-27

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2016-10-27

James Grant, Wall Street expert and editor of the investment newsletter «Grant’s Interest Rate Observer», warns of a crash in sovereign debt, is puzzled over the actions of the Swiss National Bank and bets on gold.

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Financial Repression Is Now “In Play”

2016-10-20

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2016-10-20

A FALLING MARKET CANNOT BE ALLOWED – at any cost! The Central Bankers have clearly painted themselves into a corner as a result of their self-inflicted, extended period of “cheap money”. Their policies have fostered malinvestment, excessive leverage and a speculative casino approach to investments. Investors forced to take on excess risk for yield and scalp speculative investment returns, must operate in an unstable financial environment ripe for...

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Evacuate or Die…

2016-10-12

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2016-10-12

BALTIMORE – Last week, we got a peek at the End of the World. As Hurricane Matthew approached the coast of Florida, a panic set in. Gas stations ran out of fuel. Stores ran out of food. Banks ran out of cash.

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Swiss central bank can cut rates further if needed, says bank president Jordan

2016-10-11

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2016-10-11

SNB Chairman Jordan speaks to media during a news conference in Bern
The Swiss National Bank can cut interest rates further into negative territory if needed, President Thomas Jordan said. “We have still some room to go further if necessary,” Jordan said Saturday in an interview in Washington with Bloomberg Television’s Francine Lacqua. Jordan, who is attending the annual meetings of the International Monetary Fund and the World Bank, noted that the bank has already pushed rates quite far.

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The Dying Middle Class

2016-10-05

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2016-10-05

As expected, Ms. Yellen smiled last week, announcing no change to the Fed’s extraordinary policies. For the last eight years, she has been aiding and abetting the largest theft in history. Thanks to ZIRP (zero-interest-rate policy) and QE (quantitative easing), every year, about $300 billion is transferred from largely middle-class savers to largely better-off speculators, financial asset owners, and the biggest borrowers during that period –...

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FX Daily, September 22: Swiss Franc Strongest Currency Again

2016-09-22

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2016-09-22

Movers and Shakers, September 22,
Once again the Swiss Franc was the strongest. The EUR/CHF depreciated to 1.0875. As said yesterday, the reasons: the Fed and the strong Swiss trade balance.

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Janet Yellen’s Shame

2016-09-18

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2016-09-18

wallet
n honest capitalism, you do what you can to get other people to voluntarily give you money. This usually involves providing goods or services they think are worth the price. You may get a little wild and crazy from time to time, but you are always called to order by your customers.

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Attack The Fed’s War On Savers, Workers And The Unborn (Taxpayers)

2016-09-13

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2016-09-13

The central banks have gone so far off the deep-end with financial price manipulation that it is only a matter of time before some astute politician comes after them with all barrels blasting. As a matter of fact, that appears to be exactly what Donald Trump unloaded on bubble vision this morning:

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How is Real Wealth Created?

2016-09-08

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2016-09-08

An Abrupt Drop. Let’s turn back to our regular beat: the U.S. economy and its capital markets. We’ve been warning that the Fed would never make any substantial increase to interest rates. Not willingly, at least. Each time Fed chief Janet Yellen opens her mouth, out comes a hint that more rate hikes might be coming.

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Gold Sector Correction – What Happens Next?

2016-09-01

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2016-09-01

The gathering of central planners at Jackson Hole was widely expected to bring some clarity regarding the Fed’s policy intentions. This is of course a ridiculous assumption, since these people have not the foggiest idea what they are doing or what they are going to do next. Like all central planners, they are forever groping in the dark.

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Gold and Silver Fundamentals Improve

2016-08-30

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2016-08-30

Keith Weiner's weekly look on Gold. Gold and silver prices, Gold-Silver Price Ratio, Gold basis and co-basis and the dollar price, Silver basis and co-basis and the dollar price.

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