{"id":41459,"date":"2018-12-08T11:58:35","date_gmt":"2018-12-08T16:58:35","guid":{"rendered":"https:\/\/olduvai.ca\/?p=41459"},"modified":"2018-12-08T11:58:48","modified_gmt":"2018-12-08T16:58:48","slug":"every-bubble-is-in-search-of-a-pin","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=41459","title":{"rendered":"Every Bubble Is In Search Of A Pin"},"content":{"rendered":"
\n
\"\"<\/div>\n
\n

Every Bubble Is In Search Of A Pin<\/a><\/h3>\n
\n
\n
\n
The ‘Everything Bubble’ has popped<\/strong><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
\n

Now that the world\u2019s central banking cartel is taking a long-overdue pause from printing money and handing it to the wealthy elite, the collection of asset price bubbles nested within the Everything Bubble<\/a> are starting to burst.<\/p>\n

The cartel (especially the ECB and the Fed) is hoping it can gently deflate these bubbles it created, but that’s a fantasy. Bubbles always burst badly; it’s their nature to do so. Economic suffering and misery always accompany their termination.<\/p>\n

It’s said that “every bubble is in search of a pin”. History certainly shows they always manage to find one.<\/p>\n

History also shows that after the puncturing, pundits obsess over what precise pin triggered it, as if that matters.\u00a0 It doesn\u2019t, because ’cause\u2019 of a bubble’s bursting can be anything<\/em>.\u00a0 It can be a wayward comment by a finance minister, otherwise innocuous at any other time, that spooks a critical European bond market at exactly the right (wrong?) moment, triggering a runaway cascade.<\/p>\n

Or it might be the routine bankruptcy of a small company that unexpectedly exposes an under-hedged counterparty, thereby setting off a chain reaction across the corporate bond market before the contagion quickly spreads into other key elements of the financial system.<\/p>\n

Or perhaps it will be the US Justice Department arresting a Chinese technology executive<\/a> on murky, over-reaching charges to bully an ally into accepting that unilateral US sanctions are to be abided by everyone, regardless of sovereignty.<\/p>\n

How was it that the famous Tulip Bulb bubble came to a crashing end back in the 1600\u2019s?\u00a0 No one knows the exact moment or trigger. But we can easily imagine that in some Dutch pub on the fateful night on the Feb 3rd<\/sup>1637, a bidder on the most-coveted of all bulbs, the\u00a0Semper Augustus, had an upset stomach and briefly grimaced when hit by a ripping gas pain:<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Every Bubble Is In Search Of A Pin The ‘Everything Bubble’ has popped Now that the world\u2019s central banking cartel is taking a long-overdue pause from printing money and handing it to the wealthy elite, the collection of asset price bubbles nested within the Everything Bubble are starting to burst. The cartel (especially the ECB […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[57,5144,88,1806,98,124,130,3596,176,218,233,305,388,1225,5020,2218,668,753,23405,4069],"class_list":["post-41459","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bank-of-japan","tag-bernanke","tag-bonds","tag-bubble","tag-business-cycle","tag-central-banks","tag-china","tag-chris-martenson","tag-credit-cycle","tag-draghi","tag-ecb","tag-federal-reserve","tag-greenspan","tag-kuroda","tag-mania","tag-peak-prosperity","tag-real-estate","tag-stocks","tag-tulip-bubble","tag-yellen"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41459","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=41459"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41459\/revisions"}],"predecessor-version":[{"id":41461,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41459\/revisions\/41461"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=41459"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=41459"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=41459"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}