At 90 years old and still going strong, the Godfather of newsletter writers, Richard Russell, warned about an immoral and evil power that will doom us all. The 60-year market veteran also discussed major markets, gold, inflation, and mentioned an asset class he expects will end up in a mania. Russell: “Gold symbolizes the omnipresence and all-power of God.” Emmet Fox I've lived through[...]
Author: Chris
Drugged Up Economy is Blurring Inflation Numbers
The Fed continues its artificial monetary policy and presses forward with historically low interest rates. They have kept interest rates at nearly 0% since 2008 — going on six years now. The economy has been creeping back slowly and artificially held together by poor policies that have it drugged up so badly, it’s now required for life support. The new normal for the Federal Funds Rate is[...]
What Bond Traders Are Saying: “It Won’t Be Pretty”
With rates seemingly flip-flopped today (yields higher as stocks drop), we thought it worth skimming what the smart money in the bond market is thinking. As RBS Strategist Bill O'Donnell warns, "Janet must act like a diving instructor, hoping to bring levels to the surface without giving the economy the bends. What makes it really risky for Janet is that financial sector regulation has created a[...]
How a Fed Misstep Could Mean a Golden Age for Gold – Fed Track Record Indicates High Probability of Blunder
If the Fed has been wrong about inflation risk all this time, gold could be the beneficiary. Editors Note: The Fed has been using economic models that have been seriously underreporting inflation levels in the real economy, as per John Williams of Shadowstats. Therefore, we believe that the possibility of a fed misstep, as outlined in the following commentary, has a very high probability of[...]
Marc Faber on Commodity Cycles, Monopoly Central Banking and the Wealth Redistribution Craze
The Daily Bell is pleased to present this exclusive interview with Marc Faber: Daily Bell: Hello, again. Since last we spoke, in June 2011, things have grown worse in some cases and better in other ways. How do you see the world today? What pleases you the most economically and what are you most concerned about? Marc Faber: Economically, there is not much that pleases me because I think we are[...]
3 Warning Signs Predict 20% Stock Tumble – When These Indicators Flash Together…SELL
By Mark Hulbert, MarketWatch Over the past 45 years, the stock market has lost more than 20% each time three warning signs flashed simultaneously. After a selloff this past week dragged the Dow Jones Industrial Average into negative territory for the year, it’s worth noting that all three are flashing today. The signals are excessive levels of bullish enthusiasm; significant overvaluation,[...]
Elliott’s Paul Singer On Gold, Inflation, And The Global Monetary Delusion
"Although the levitation of financial assets has yet to levitate gold, we will grit our collective teeth on that score and await either 'asset price justice' or the 'end times,' whichever comes first." Authored by Paul Singer, excerpted from Elliott Management's latest letter to investors, GLOBAL MONETARY DELUSION – MORE COWBELL Central bankers think they are the masters of the universe[...]
Official Who Implemented QE1 For Fed Warns Major Turmoil Is Coming – What Fed is Doing is “Quite Shocking”
In the aftermath of the Fed’s decision to taper another $10 billion, today King World News spoke with the man the Fed called on to execute QE1 and who also set up the Fed’s massive trading room, former Fed member and former Managing Director at Morgan Stanley, Andrew Huszar. What he had to say will stun KWN readers around the world. He warned stocks will collapse if the Fed continues on the[...]
6 Major Flaws in the Fed’s Economic Model – James Rickards
The U.S. dollar is the dominant global reserve currency. All markets, including stocks, bonds, commodities, and foreign exchange are affected by the value of the dollar. The value of the dollar, in effect, its “price” is determined by interest rates. When the Federal Reserve manipulates interest rates, it is manipulating, and therefore distorting, every market in the world. The Fed may have [...]
How Much Did Subprime Loans Fuel GDP boom? Economy Running on Subprime Loans Again?
By Steve Goldstein, MarketWatch WASHINGTON (MarketWatch) — It’d be tempting to think that the days of subprime loans fueling the economy were a product of the era of the aged or departed Ace Greenberg, Alan Greenspan and Angelo Mozilo. Except when you break down the growth in GDP, it’s clear that car and light truck purchases played a major role. And subprime loans, in turn, are financing [...]