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Eric Peters: “People Assume That Stocks Always Rise Over Time. They’re Wrong”
Eric Peters: “People Assume That Stocks Always Rise Over Time. They’re Wrong” This week on the MacroVoices podcast, host Erik Townsend welcomed Eric Peters, the CEO and CIO of One River Asset Management, for a discussion about the long-term future of the US economy, and how demographics, the expanding US debt, and the waning influence […]
The U.S. Economy In Two Words: Asymmetric Gains
The U.S. Economy In Two Words: Asymmetric Gains The Status Quo is in trouble if the bottom 95% wake up to the asymmetric gains that are the only possible output of our hyper-financialized economy. The core dynamic of the U.S. economy in this era is asymmetric gains: the gains in income, wealth and power are […]
THE SHALE OIL PONZI SCHEME EXPLAINED: How Lousy Shale Economics Will Pull Down The U.S. Economy
THE SHALE OIL PONZI SCHEME EXPLAINED: How Lousy Shale Economics Will Pull Down The U.S. Economy Few Americans realize that the U.S. economy is being propped up by the Shale Oil Industry. However, the shale oil industry is nothing more than a Ponzi Scheme, so when it collapses, it will take down the U.S. economy […]
“Financial Stress” Spikes. Markets, Long in Denial, Suddenly Grapple with New Era
“Financial Stress” Spikes. Markets, Long in Denial, Suddenly Grapple with New Era Fed’s monetary policy shift is finally taking hold. It just took a while. The weekly St. Louis Fed Financial Stress index, released today, just spiked beautifully. It had been at historic lows back in November, an expression of ultra-loose financial conditions in the […]
Two Elephants In The Room That The GOP Has Completely Forgotten
Two Elephants In The Room That The GOP Has Completely Forgotten The US economy is threatened by two giant problems which cause all others to pale into insignificance. We are referring to a rogue central bank that has become an absolute enemy of capitalist prosperity and a fiscal doomsday machine that is hostage to the […]
Trump & the Fed: US Shadow Bankers About to Deepen Control of US Economy
Trump & the Fed: US Shadow Bankers About to Deepen Control of US Economy What’s sometime referred to as ‘shadow bankers’ have been running the economy and drafting US domestic economic policy since Trump took office. ‘Shadow’ banks include such financial institutions as investment banks, private equity firms, hedge funds, insurance companies, finance companies, asset […]
2018 Economy Goes Cold – Inflation Hot – Danielle DiMartino Booth
2018 Economy Goes Cold – Inflation Hot – Danielle DiMartino Booth Former Fed insider Danielle DiMartino Booth is not optimistic about a surging economy in 2018. Booth contends, “We have seen 24 consecutive back-to-back months when credit card spending has outpaced incomes. That tells you households are struggling to get by. This is not Eve […]
How Much Illusion in GDP? What You See Is Not What You Get
How Much Illusion in GDP? What You See Is Not What You Get Oh, the revisions. The US economy, as measured by “real” GDP (adjusted for a version of inflation) grew 0.74% in the third quarter, compared to the prior quarter. That was a tad slower than the 0.76% growth in Q2, but up from […]
Here’s You and Here’s the Top Ten Percent
Here’s You and Here’s the Top Ten Percent In a nutshell, here is a graph that summarizes everything you need to know about the unsustainable US economy. Unless you’re in the top ten percent of income producers in the nation — or, at least, living in their neighborhood — you are living in a dingy […]
The US Economy Is Failing
The US Economy Is Failing Do the Wall Street Journal’s editorial page editors read their own newspaper? The frontpage headline story for the Labor Day weekend was “Low Wage Growth Challenges Fed.” Despite an alleged 4.4% unemployment rate, which is full employment, there is no real growth in wages. The front page story pointed out […]
Will The Fed Really “Normalize” Its Balance Sheet?
Will The Fed Really “Normalize” Its Balance Sheet? To begin with, how exactly does one define “normalize” in reference to the Fed’s balance sheet? The Fed predictably held off raising rates again today. However, it said that beginning in October it would no longer re-invest proceeds from its Treasury and mortgage holdings and let the […]
The Federal Reserve Is A Saboteur – And The “Experts” Are Oblivious
The Federal Reserve Is A Saboteur – And The “Experts” Are Oblivious I have written on the subject of the Federal Reserve’s deliberate sabotage of the U.S. economy many times in the past. In fact, I even once referred to the Fed as an “economic suicide bomber.” I still believe the label fits perfectly, and […]
Why The Next Recession Will Morph into a Decades Long Depressionary Event…Or Worse
Why The Next Recession Will Morph into a Decades Long Depressionary Event…Or Worse Economists spend inordinate time gauging the business cycle that they believe drives the US economy. However, the real engine running in the background (and nearly entirely forgotten) is the population cycle. The positive population cycle is such a long running macro trend thousands of years […]
This is What’s Cannibalizing the US Economy
This is What’s Cannibalizing the US Economy The sector is booming, but it’s a costly boom. In the sluggish US economy, the goods-producing sector has been in decline since late 2014, but sales in its biggest sub-sector are booming: medicines. Drugs are a physically small part of the goods-producing economy. But in terms of dollars, they’re the elephant […]