Sound money principles can serve to help grow the economy and restrain government. The political class, however, doesn’t particularly want to restrain itself. Washington, D.C. is addicted to the easy money policies that have enabled $20 trillion in national debt accumulation and tens of trillions more in unfunded liabilities. Even with a new and unconventional GOP president who vows to take on waste and overregulation, the built-in momentum of “mandatory” spending means the Trump budgets won’t be balanced. The debt will keep growing – and likely at a faster pace than the economy. Thus, political demand for the Federal Reserve’s artificially low interest rates and Treasury bond purchases will continue […]
October could see a ramping up of volatility across all asset markets. The month is notorious on Wall Street for the 1987 stock market crash. Fall crashes also occurred in 2002 and 2008. Are we due for another one? Perhaps. Some analysts think it will come after the election. Others think the stock market will stay elevated until the Federal Reserve raises rates. The Fed will be out of the picture this month – at least as far as policy decisions are concerned. The Fed won’t convene another policy meeting until November 1-2. Most Fed watchers expect the central bank to avoid making any rate moves so close to the […]
Some say the U.S. dollar may die 5 days hence. The Chinese renminbi will kill it. Much is being made of plans by the International Monetary Fund (IMF) to add the renminbi to its basket of strategic reserve currencies called Special Drawing Rights (SDR). The IMF will make the change on October 1. While the implications for the Federal Reserve Note, currently the U.S. dollar, as the world’s primary reserve currency may be profound over time and the importance of this event should not be overlooked, the impact is unlikely to happen overnight. The composition of the SDR may change on October 1, but few people understand what the SDR […]
Harvard professor and economist Ken Rogoff is once again leading the chorus of high-level academics and officials who declare cash is only for criminals. He made his case in a recent Wall Street Journal editorial called the “Sinister Side of Cash.” The solution, he declares, is to simply get rid of anything but the smallest bank notes. In his vision, drug dealers, human traffickers, and tax cheats are everywhere, but they are reliant on cash. Our benevolent central planners can largely incapacitate them by ridding society of anything larger than a $10 bill. Kingpins won’t know what to do when a single-engine Cessna full of cocaine requires a Boeing 747 full […]
As big as previous real estate and stock market bubbles have been, the current global bubble in government debt dwarfs them all. Not only is it far bigger in size and scope (some $60 trillion in sovereign bonds now trade globally); it is also unprecedented in character. The world has rarely seen a bond bull market that is not only 36 years old, but also shows few signs of ending. And never before in recorded history have interest rates gotten so low across the board. How much lower can interest rates go? Conventional wisdom once held that rates could only get as low as 0%. WRONG! In the current crazed […]
Listen to the Podcast Audio: Click Here Mike Gleason: It is my privilege now to welcome in Craig Hemke of the TF Metals Report. Craig runs one of the most highly respected and well known blogs in the industry and has been covering the precious metals for close to a decade now and puts out some of the best analysis on banking schemes, the flaws of Keynesian economics and evidence of manipulation in the gold and silver markets. Craig it’s great to have you back and thanks again for joining us today. Welcome. Craig Hemke: Hey Mike, it’s always a pleasure. Thanks for the invite. Mike Gleason: Well we’ve got […]
bullion investors have stopped investing in precious metals despite premiums being at the low end of the range. The article goes on to explain why this is happening and how dangerous it is for people to be running to cash at a time like this.
There are many drivers of precious metal prices, such as global economic growth, supply and demand, inflation expectations, interest rates, production, geopolitical turmoil, etc. Having said that, one of the primary drivers of the prices of the two most popular precious metals gold and silver, that investors always need to keep an eye on, are movements in the global currency market. Gold, silver and the US dollar The US dollar is the base currency for both gold and silver. That means in the global commodity markets, both gold and silver are generally bought using US dollars. Therefore, if the dollar weakens, gold and silver become cheaper to purchase and their […]
It is way too early to sound the “all clear” signal, and the real Brexit fallout may still be ahead. Here are some developments that investors should weigh carefully…
I found this video and wanted to share with everyone. The video is a year old? However the problem represented in this video is still very current and upon us. Great source of information. I’m interested to know your thoughts. Video was published by MoneyBags73.
The Zika virus is the newest threat to humanity, especially pregnant women, so they say. Big Pharma is working feverishly to create a vaccine. Chances are the vaccine will be created, highly profitable, and Big Pharma will be “held harmless” for injuries to those who were vaccinated. Add GM mosquitoes, birth defects, Brazilian Olympics, big profits, and the story becomes a huge distraction. John Rappoport has suggested there is more to the story. There is money to be made on vaccines and GM mosquitos, and money to be lost if sales of pesticides and other chemicals are reduced. It is clear in which direction the politics will lean. The Zika virus should remind us of other […]
We come to the key point; if the quantity of money is not the whole truth, then what is? The whole truth is that it’s the quality of money that counts. Gold and Silver have quality that cannot be denied or destroyed. Paper has only an illusion of value. When the Emperor’s spear falters, so does the illusory value of his chits. The Petro Dollar is faltering. The Empire of Chaos is faltering. Change your Fiat paper promises for some real money before it’s too late.