Home » Economics (Page 190)
Category Archives: Economics
US Money Supply – The Pandemic Moonshot
US Money Supply – The Pandemic Moonshot Printing Until the Cows Come Home… It started out with Jay Powell planting a happy little money tree in 2019 to keep the repo market from suffering a terminal seizure. This essentially led to a restoration of the status quo ante “QT” (the mythical beast known as “quantitative […]
America Convulses in Pain, Fed Bails Out the Wealthy
America Convulses in Pain, Fed Bails Out the Wealthy What’s so insidious about the Fed’s bailouts of investors in hedge funds, mortgage-REITS, stocks, bonds, leveraged loans, and other often risky assets? The destruction of capitalism. By Wolf Richter. This is the transcript of my podcast last Sunday, THE WOLF STREET REPORT. You can listen to it […]
Weekly Commentary: Extraordinary Q1 2020 Z.1 Flow of Funds
Weekly Commentary: Extraordinary Q1 2020 Z.1 Flow of Funds Financial crisis erupted in March. The Fed slashed rates at a March 3rd emergency meeting – and then began aggressively expanding its holdings/balance sheet (creating market liquidity). Even from a “flow of funds” perspective, it was one extraordinary quarter. Total Non-Financial Debt (NFD) surged a nominal […]
The Fed Just Pulled Off Another Backdoor Bailout of Wall Street
The Fed Just Pulled Off Another Backdoor Bailout of Wall Street Source: Federal Reserve. The Federal Reserve has authorized 11 financial bailout programs thus far. Despite Fed Chairman Jerome Powell’s reassurances at his press conferences that these programs are to help American families, a full 10 of these programs are actually bailouts of Wall Street […]
Inequality On Rise – Many Of 99% Dirt Poor As Rich Gain
Inequality On Rise – Many Of 99% Dirt Poor As Rich Gain Inequality has soared over the last several months with billionaires seeing huge gains in their wealth while many people are getting slammed. Much of the adverse effect on the average American has so far been masked by trillions of dollars flowing from the […]
The Fed’s Forever War Against Savers
The Fed’s Forever War Against Savers The war on savers rages into its second decade. And yesterday Field Marshal Powell vowed indefinite bombing, shelling, machine-gunning and bayoneting… until the white flag rises over enemy lines. It is war to the knife… and from the knife to the hilt. The only peace terms he will accept […]
“Trash Stock” Speculation Signals Dangerous Trend
“Trash Stock” Speculation Signals Dangerous Trend Last year’s yield curve inversion and repo market troubles are both longer term signals for the end of a market cycle. While not perfect, we can add an increase in “trash stock” speculation as another potential signal for the peak of the market cycle. That signal may have arrived, according to ZeroHedge: In nearly […]
Making Sense Of An Increasingly Insensible World
Making Sense Of An Increasingly Insensible World Creating purpose and fulfillment within a failing system What the heck is going on? I hear this a lot these days. Developments are happening too quickly to process for many folks, creating a persisting cloud of confusion. Even focusing down on any particular single event often gets nowhere […]
United States: An Obituary
United States: An Obituary The United States of America was problematic from the start. It was founded on genocide and slavery, and, while frequently congratulating itself on the rights and freedoms it granted its citizens, never managed to confront the demons in its past. The question would arise repeatedly, generation after generation: rights and freedoms […]
U.S. Total Public Debt Increases a Stunning $25 Billion A Day In 2020
U.S. Total Public Debt Increases a Stunning $25 Billion A Day In 2020 Americans better become reacquainted with Gold and Silver. With the Federal Government adding $25 billion of new debt every day so far this year, at some point, investors are going to lose faith in the U.S. Dollar and U.S. Treasuries. Just think […]
Wow, That Was Fast: Debt Out the Wazoo
Wow, That Was Fast: Debt Out the Wazoo US National Debt Spiked by $1 trillion in 5 weeks to $26 trillion. Fed monetized 65%. Business debts spike to high heaven. Trillions are now whooshing by at a breath-taking pace. The US gross national debt – the total of all Treasury securities outstanding – jumped by […]
Central Banks Bailed Out Markets To Avoid Trillions In Pension Losses
Central Banks Bailed Out Markets To Avoid Trillions In Pension Losses The Organization for Economic Co-operation and Development (OECD) recently published a report showing how pension funds in OECD countries recorded a massive loss of approximately $2.5 trillion during the stock market meltdown in February through late March. Shortly, after that, central banks intervened with monetary cannons to rescue stock markets and […]
Our Wile E. Coyote Economy: Nothing But Financial Engineering
Our Wile E. Coyote Economy: Nothing But Financial Engineering Ours is a Wile E. Coyote economy, and now we’re hanging in mid-air, realizing there is nothing solid beneath our feet. The story we’re told about how our “capitalist” economy works is outdated. The story goes like this: companies produce goods and services for a competitive marketplace […]
Fed Warns of High Downside Risks
Fed Warns of High Downside Risks In its semiannual monetary report to the Senate Finance Committee the Fed warns of six downside risks. The risks are not spread evenly. Low wage earners and small businesses are particularly vulnerable. Please consider the Fed’s Monetary Policy Report to the Senate Committee on Banking, Housing, and Urban Affairs and to […]
Crash #2?
Crash #2? President Trump is mocking Warren Buffett for having sold his airline stocks, Druckenmiller crying on TV about having been humbled by the market while every Robinhood retail trader piling into ever more into calls is laughing all the way to the bank. The professionals gobsmacked at the complete upside down events in markets […]
