Tag Archive: wealth effect

Are Stocks Overvalued, Report 24 Dec 2018

2018-12-27

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2018-12-27

Gold and Silver Prices
We could also have entitled this essay How to Measure Your Own Capital Destruction. But this headline would not have set expectations correctly. As always, when looking at the phenomenon of a credit-fueled boom, the destruction does not occur when prices crash. It occurs while they’re rising.

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The Wealth Effect, Report 24 Jun 2018

2018-06-27

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2018-06-27

Gold and Silver Prices
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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Wealth Paradox Not Effect

2017-06-18

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2017-06-18

U.S. Household Net Worth, April 1954 - April 2016
US Household Net Worth rose to a record $94.8 trillion in Q1 2017. According to the Federal Reserve’s Financial Accounts of the United States (Z1), aggregate paper wealth rose by more than 8% year-over-year mostly as the stock market shook off the effects of “global turmoil.” It was the best rate of expansion since the second quarter of 2014 just prior to this “rising dollar” interruption.

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Central Banks = Welfare for the Wealthy

2016-08-30

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2016-08-30

The fact that central banks provide welfare for the wealthy is now entering the mainstream. The fact that all central bank policies since 2008 have dramatically increased wealth and income inequality is now grudgingly being accepted as reality by mainstream economists and the financial media. The central banks' PR facade of noble omniscience on behalf of the great unwashed masses has cracked wide open.

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Bank of Japan: Destination Mars

2016-07-18

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2016-07-18

Asset Price Levitation One of the more preposterous deeds of modern central banking involves creating digital monetary credits from nothing and then using the faux money to purchase stocks. If you’re unfamiliar with this erudite form of monetary policy this may sound rather fantastical.

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The Bull Market in Stocks May Be Done

It’s the rude furry fellow’s turn to shred the illusion.
The great stock bull market is, perhaps, done. To most people, a bull market is good, and its end is bad. After all, a rising market signifies a healthy economy. Investors are making money. Share prices are connected to business productivity, aren’t they?

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