Paying a high price for too many elites and their ‘frivolous cravings’ Nowadays many countries’ social and political structure relies on debt-driven consumption and increasing levels of entitlements. Blame the policy makers. To drive economic growth, boost living standards, and manage growing inequality, policy makers have used debt and monetary tools to create economic activity. This has [...]
Tag: crash
When All News Is Bad News
by John Rubino on April 21, 2015 One of the defining traits of financial bubbles is the willingness of traders and investors to interpret pretty much everything as a buy signal. Rising corporate earnings mean growth, while falling profits mean easier money on the way. War means more revenues for defense contractors and easy money for everyone else. Blizzards means consumer spending will[...]
Huge Trouble Is Percolating Just Under The Surface Of The Global Economy
By Michael Snyder Did you know that the number of publicly traded companies declaring bankruptcy has reached a five year high? And did you know that Chinese exports are absolutely collapsing and that Chinese economic growth in 2014 was the weakest in over 20 years? Even though things may seem to be okay on the surface for the global economy at the moment, that does not mean that big trouble[...]
Bankruptcies Suddenly Soar Across Corporate America, Worst First Quarter Since 2009
“Come down to Houston,” William Snyder, leader of the Deloitte Corporate Restructuring Group, told Reuters. “You’ll see there is just a stream of consultants and bankruptcy attorneys running around this town.” But it’s not just in Houston or in the oil patch. It’s in retail, healthcare, mining, finance…. Bankruptcies are suddenly booming, after years of drought. In the first[...]
WHERE DO PRECIOUS METALS GO FROM HERE?
I urge you to consider my arguments for investing in gold and silver, and the miners that extract it. I am holding on to my post 2008 forecast for gold reaching $3-5k per ounce by 2017 (and silver reaching $100) because the world’s largest governments continue their plunge into default, and cannot afford to let interest rates normalize if they don’t want to be forced into a[...]
IMF Tells Regulators to Brace for Global ‘Liquidity Shock’
Financial engineering that preceded the last two financial crises is back, International Monetary Fund warns An illusion of liquidity has beguiled financial markets across the world and spawned some of the worst excesses seen on Wall Street in modern times, the International Monetary Fund has warned. Investors are borrowing money to buy shares on the US stockmarket at a torrid pace and are[...]
It’s Not The Weather: Industrial Production Is Rolling Over, Yet The Fed Is Clueless About Its Own Index
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%)[...]
Rickards, Paradoxes, and Getting Ahead
By Chris Campbell We have three big announcements for you today… First: You are no ordinary person. These are no ordinary times. And this is no ordinary episode. The second: I was just inside the White House yesterday. For reasons I’ll tell you later. And our third announcement, which I’ll get to in a moment, is even bigger than the first two. I’ll announce it in just a moment. But[...]
PROOF that the US Peaked During Ronald Reagan’s Presidency
April 13, 2015 Santiago, Chile On March 16, 1936, the government of the United States published the very first edition of the Federal Register. President Roosevelt had been taking a lot of heat over the previous year; under his New Deal program, dozens of government agencies were passing new rules, regulations, and codes at an absolutely feverish pace. It became impossible for anyone to keep[...]
Rick Rule: Have the Cash and Courage to Sustain Your Trade
For the past five months, we’ve been writing in the DR’s email edition, about the danger debt and derivatives tied to the U.S. shale gale posed while crude oil lingers in the $40-60 range. We had occasion to ask Rick Rule about this thesis and more recently. Rick needs no introduction. He’s founder of Sprott’s U.S. Global Holdings and is considered one of the most able natural resource[...]