Tag Archive: leverage

Weekly Market Pulse: Not So Evergrande

US stocks sold off last Monday due to fears over the potential – likely – failure of China Evergrande, a real estate developer that has suddenly discovered the perils of leverage. Well that and the perils of being in an industry not currently favored by Xi Jinping. He has declared that houses are for living in not speculating on and ordered the state controlled banks to lend accordingly.

Read More »

All this borrowing to consume is unsustainable and the bill is overdue

June has been an interesting month for gold, as geopolitical events, market fluctuations and developments on the monetary policy front fueled an exciting ride for the precious metal. As long-term investors with a strict focus on the big picture, short-term moves and speculative angles are largely irrelevant in and of themselves, but they do provide important signals that, without fail, confirm the strategic superiority of precious metals holdings...

Read More »

Central Bank Independence in Switzerland: A Farce

articles by Marc Meyer, one of the most critical voices against the SNB. This post explains --- That the SNB does not understand what assets and liabilities are - and therefore - it speculates with massive leverage. --- The difference between good and bad deflation --- Both the SNB and the Swiss government do what some Swiss exporters want. Therefore, the formerly admired central bank independence in Switzerland has become a farce.

Read More »

El-Erian: The New Normal



Read More »