Dating back to 2013, gold has run up on the $1,360 level on to retreat, consolidate, and take another shot at a breakthrough. We’re verging on a seventh attempt, and with innumerable potential catalysts for a flight to safety and a historically overextended stock market, the setup couldn’t be more bullish.
Yield kurva fortsätter att plana ut. Obligationsmarknaden verkar inte speciellt optimistiska om framtida ekonomin
The Coincident Economic Activity Index is produced monthly by the Philadelphia Fed. On a year-over-year basis, recessions have started when the year-over-year CEI was around 2.5 percent.
Goldman Sachs is expecting gold to "outperform" over the coming months.
For the first time in more than five years, commodity analysts at the U.S. investment bank are bullish on yellow metal prices. Goldman's analysts said signs of an uptick in inflation and the "increased risk" of a stock market correction should both prove to be price supportive for bullion.
"Our commodities team believes that the dislocation between the gold prices and U.S. rates is here to say," Goldman Sachs analysts, led by Eugene King, said in a research note published Monday.
"Based on empirical data for the past six tightening cycles, gold has outperformed post rate hikes four times," the analysts added.
Speculative investors are turning more bearish on silver...
Vad tryckning av pengar leder till och hur skall CB någonsin kunna sluta utan en total kollaps på finansmarknaderna
Jonathan Garner, Morgan Stanley's Chief Strategist for Asia and Emerging Markets , told Bloomberg that the rising Libor rates is a bigger concern right now than a more hawkish Federal Reserve, and in fact, is "the story of the year."
bank CDS have spiked to 6 month wides.
Börjar de högre räntorna i USA påverka ekonomin negativt med tanke på att man normalt räknar med 9-12 månaders lag time
Total assets rose by another €7.8bn to a fresh high of €4,519.4bn just ahead of this weeks ECB meeting on QE. The volume of the balance sheet now equals to 41.9% of Eurozone GDP vs 22.3% in the US.
Monetärt system med papperspengar leder till för mycket skulder och till slut måste systemet göras om och skulderna skrivas av eller inflateras bort
Högre räntor i USA börjar visa sig i statistiken när det gäller förmågan att betala sina kreditkortsskulder
Small banks are getting their clocks cleaned by these American debt slaves that they have gone after so aggressively and that suddenly cannot make their credit payments. Charge-off rates – the portion of outstanding credit card balances that a bank writes off as a loss – spiked to 7.5% and 7.4% of total balances in Q3 and Q4 respectively, according to the Fed’s Board of Governors. Those were the highest charge-off rates since Q2 2010, up from 4.6% a year earlier, and up from 3.5% two years earlier.
Credit card charge-offs at the largest 100 banks are also increasing, but slowly. In Q4, they were at 3.6%, just slightly higher than a year earlier (3.4%):
But let us finish the discussion of central bankers by mentioning someone who now realizes that banning of cash actually makes the central bank powerless. Stefan Ingves, head of the world’s oldest central bank, Sweden’s Riksbank, has just realized that the bank has now lost control of the cash in the country. In the last 10 years, the value of cash in circulation in Sweden has halved from 112 billion kronor to 50 billion. Many shops and banks refuse to handle cash at all. Ingves states that Sweden now has a situation where many commercial parties control the payment system.
It is a fallacy to believe that money printing is the prerogative of the central bank. When a commercial bank receives a deposit, it lends that money to someone less a minuscule reserve. That process is repeated many times thus expanding money supply infinitely. A credit card company also prints money and so do many other commercial entities by extending credit. All this money creation outside the central bank is highly inflationary and destroys the value of the currency which Sweden is experiencing, like many other countries.
Ingves argues that the Riksbank is losing control of the currency which he says is problematic. A parliamentary commission is therefore now looking into how to protect the Swedish kronor issued by the Riksbank. This will lead to a new central bank regulation. Without a payment system that accepts the currency issued by the country, Ingves says, the Riksbank cannot carry out its role effectively.
Interesting how a country that has been promoting a cashless society for tax evasion and money laundering purposes now realizes that the consequences instead lead to a total loss of control of the country’s currency.