Nov 212014
 
 November 21, 2014  Posted by at 9:22 pm Finance Tagged with: , , , , , , ,  3 Responses »
Central Bankers, Fear and Other Bad Counselors

The original idea behind a central bank is that medium and longer term monetary policy should not be allowed to be held hostage by a short-term prevailing political wind, that an incumbent politician and his/her party should not be permitted and/or enabled to manipulate a nation’s currency for political gain. A central bank was (and still is officially) supposed to be independent of politics, to be a buffer between a society’s long term interests and a politician’s short-term ones. In

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Nov 212014
 
 November 21, 2014  Posted by at 12:47 pm Finance Tagged with: , , , , , , , , , ,  1 Response »
Debt Rattle November 21 2014

• Americans, With Record $3.2 Trillion Consumer Debt, Borrow More (Guardian) • How Wall Street Banks Traded Lending For Oil, Gas And Nukes (MarketWatch) • Citigroup Ejected From ECB FX Group for Rigging (Bloomberg) • China ‘Triple Bubble’ Points To Long Slide For Commodities (MarketWatch) • ECB Dips Toe Into Dead Sea Of Rebundled Debt (Reuters) • ECB’s Draghi: ‘Strong Recovery Unlikely’ (CNBC) • Draghi Says ECB Must Raise Inflation as Fast as Possible (Bloomberg) • Greece To Submit Contentious

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Nov 202014
 
 November 20, 2014  Posted by at 10:10 pm Finance Tagged with: , , , , , , ,  9 Responses »
Hugh Hendry And The Deflationary Zeitgeist

It’s funny how things roll at times. When I wrote yesterday’s Making Money While The World Burns, and quoted Hugh Hendry, one of my heroes – well, close, he’s not Ali, but I love the man for his brain -, I hesitated, but thought his words were a great way to start a discussion on what people do when faced with certain conundrums. I certainly never meant to attack Hugh, though words can always be construed to mean things they

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Nov 202014
 
 November 20, 2014  Posted by at 12:26 pm Finance Tagged with: , , , , , , , , , , ,  13 Responses »
Debt Rattle November 20 2014

• Growth Isn’t God in Indonesia (Bloomberg) • Federal Reserve In Easy Decision To End Stimulus (BBC) • Fed Debate Shifts to Tightening Pace After First Rate Increase (Bloomberg) • The Only Thing More Bullish Than Inflation Is …. Deflation (Zero Hedge) • Cheap-Oil Era Tilts Geopolitical Power to US (Bloomberg) • Oil Industry Risks Trillions Of ‘Stranded Assets’ On US-China Climate Deal (AEP) • Iron Ore’s Massive Expansion Era Is Finished: BHP Billiton (Bloomberg) • China’s Factory Activity Stalls

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Nov 192014
 
 November 19, 2014  Posted by at 11:07 pm Finance Tagged with: , , , , ,  17 Responses »
Making Money While The World Burns

I was reading this letter to his fund investors by Hugh Hendry, a very intelligent and probably slightly autistic fund manager I’ve liked a lot forever and a day and have written about quite a bit in the past, and it got me thinking about how and why I see the world different from the way he does, and wondering how you see that difference. Hugh was for years known as a true bear, and then he turned around, changed

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Nov 192014
 
 November 19, 2014  Posted by at 12:57 pm Finance Tagged with: , , , , , , , , ,  No Responses »
Debt Rattle November 19 2014

• Japan’s Last Stand (Michael Pento) • Why Japan’s Money Printing Madness Matters (David Stockman) • New Repair Manual Needed For Japan’s Broken Economy (CNBC) • Kuroda Wins Wider Majority, Warns Inflation Could Dip Below 1% (Bloomberg) • Yellen Inherits Greenspan’s Conundrum as Long Rates Sink (Bloomberg) • Mission Accomplished: Stocks & Homeless Kids Hit All-Time Highs (Simon Black) • China’s Central Bank Makes The Fed Look Like A Bunch Of Amateurs (WolfStreet) • US Equity-Credit Divergence: A Warning (RCube)

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Nov 182014
 
 November 18, 2014  Posted by at 1:09 pm Finance Tagged with: , , , , , , , , , , ,  1 Response »
Debt Rattle November 18 2014

• Japan PM Abe Calls Snap Election, Delays Sales Tax Hike (CNBC) • Japan Prepares Stimulus to Strengthen 2015 Growth After Recession Hit (Bloomberg) • Japan’s ‘Abenomics’ Can Survive Quadruple-Dip Recession (AEP) • ‘Godfather’ Of Abenomics Admits It’s A Ponzi Game, Taxpayers May Revolt (ZH) • ECB’s Draghi: Buying Sovereign Bonds Is An Option (CNBC) • Draghi Says ECB Measures May Entail Buying Government Bonds (Bloomberg) • Draghi Seen Bypassing QE Qualms to Hit Balance-Sheet Goal (Bloomberg) • Industrial Output

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Nov 182014
 
 November 18, 2014  Posted by at 8:30 am Finance Tagged with: , , , , , , , ,  6 Responses »
Japan Is Dying And We Still Don't Get It?!

What is it with us? Don’t we WANT to understand? Japan announced on Monday that its economy is in hopeless trouble and back in recession (as if it was ever out). And what do we see? ‘Experts’ and reporters clamoring for more stimulus. But if Japan has shown us anything over the past years, and you’re free to pick any number between 2 and 20 years, it’s that the QE-based kind of stimulus doesn’t work. Not for the real economy,

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Nov 162014
 
 November 16, 2014  Posted by at 10:25 pm Finance Tagged with: , , , , , , , , ,  6 Responses »
The World Is Run By Fools, And We Let Them

Dumb and Dumber To, the sequel after 20 years, was released recently. Unfortunately for Jim and Jeff and the Farrelly brothers, unintended humor will always be funnier than the scripted kind, no matter how hard Hollywood tries. Case in point: the Dumber slapstick was easily upstaged over the past few days by the G20 summit in Brisbane. Not only did the pedantic Anglo-Saxon power hungry freak show of Harper, Cameron and Abbott (nobody even noticed Obama) give Vladimir V. Putin

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