Another day of “incoming data” and still more evidence that this isn’t your father’s business cycle. This time it comes from the Eccles Building itself, but don’t expect the Keynesian money printers domiciled there to recognize that the industrial production report they issued today constitutes yet another rebuke to their entire macro model. The March index slipped badly (0.6%)[...]
Tag: david stockman
History In the Balance: Why Greece Must Repudiate Its “Banker Bailout” Debts And Exit The Euro
by David Stockman • February 2, 2015 Now and again history reaches an inflection point. Statesman and mere politicians, as the case may be, find themselves confronted with fraught circumstances and stark choices. February 2015 is one such moment. For its part, Greece stands at a fork in the road. Syriza can move aggressively to recover Greece’s democratic sovereignty or it can desperately[...]
Inside the December Retail Report: “Disappointing” Isn’t the Half of It
by David Stockman Today’s 0.9% decline in December retail sales apparently came as a shock to bubblevision’s talking heads. After all, we have had this giant “oil tax cut”, and, besides, the US economy has “decoupled” from the stormy waters abroad and is finally on its way to “escape velocity”. The Wall Street touts and Keynesian economic doctors have been saying that for months [...]
Duck And Cover —- The Lull Is Breaking, The Storm Is Nigh
By David Stockman September 15, 2008 is the day that Lehman died and the moment that the world’s central banks led by the Fed went all-in. As it has turned out, that was an epochal leap into the most dangerous monetary deformation that the world has ever known. It needn’t have been. What was really happening at this pregnant moment was that the remnants of honest capital markets were[...]
How Financial Bubbles Fester And Burst – Even As The Fed Says Not To Worry
By David Stockman In today’s post Wolf Richter offers some solid insights on the dynamics of financial bubbles which merit further comment. The starting point is to recognize that once they gain a head of steam, financial bubbles tend to envelope virtually every nook and cranny of the economy, creating terrible distortions and destructive excesses as they rumble forward. In this instance,[...]
“S&P 2000″ Is a Fed Manufactured Mirage – Phony Stock Prices No Substitute for Real Economy
By David Stockman That 4% market correction in July was quick and virtually painless. Not missing a beat after the market briefly tested 1900 then, the dip buyers came roaring back — gunning for the 2000 marker on the S&P 500, confident that longs were not selling and that shorts had long ago been obliterated. Needless to say, bubblevision had its banners ready to crawl triumphantly across [...]