{"id":44416,"date":"2019-03-11T18:50:05","date_gmt":"2019-03-11T23:50:05","guid":{"rendered":"https:\/\/olduvai.ca\/?p=44416"},"modified":"2019-03-11T18:50:46","modified_gmt":"2019-03-11T23:50:46","slug":"44416","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=44416","title":{"rendered":"Central Banks Cave, Usher In The Crack-Up Boom"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\"><a href=\"https:\/\/www.dollarcollapse.com\/central-banks-cave-usher-crack-up-boom\/\">Central Banks Cave, Usher In The Crack-Up Boom<\/a><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">This was going to be the year when the other big central banks joined the Fed in \u201cnormalizing\u201d interest rates and reversing the past decade\u2019s QE experiment. Instead, the other central banks blinked and went back to aggressive ease,<em>&nbsp;and the Fed is following them<\/em>. This is a very big deal.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Let\u2019s consider some before-and-after stories:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In September 2018, the European Central Bank began tightening:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a rel=\"noreferrer noopener\" href=\"https:\/\/www.businessinsider.com\/ap-european-central-bank-to-take-next-step-in-tapering-stimulus-2018-9\" target=\"_blank\"><strong>European Central Bank to take next step in tapering stimulus<\/strong><\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(AP) \u2013 The European Central Bank is expected to ratchet back its stimulus efforts again on Thursday as it gingerly phases out extraordinary support for the economy left over from the Great Recession and the euro currency union\u2019s debt crisis.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The bank\u2019s 25-member governing council is expected to cut its monthly bond-purchase stimulus to 15 billion euros ($17.4 billion) a month from 30 billion a month, on the way to ending the purchases at the end of the year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reinhard Cluse, chief European economist for UBS, said that after the June meeting \u201cthe ECB is now essentially on autopilot.\u201d Cluse said that the ECB can phase out the bond purchases and then decide the exact timing of next year\u2019s first rate increase in the summer or fall.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But before any actual tightening took place, the EU economy slowed and turmoil flared in Italy and France. This week:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a rel=\"noreferrer noopener\" href=\"https:\/\/www.wsws.org\/en\/articles\/2019\/03\/08\/ecbd-m08.html\" target=\"_blank\"><strong>European Central Bank announces major policy reversal<\/strong><\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">(WSWS) \u2013 The European Central Bank has reversed its policy of slight monetary tightening and announced a new stimulus package in the face of data which show a sharp downturn in growth in the euro zone. The unanimous decision was taken at the meeting of the ECB\u2019s governing council held in Frankfurt yesterday.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&nbsp;\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Central Banks Cave, Usher In The Crack-Up Boom This was going to be the year when the other big central banks joined the Fed in \u201cnormalizing\u201d interest rates and reversing the past decade\u2019s QE experiment. Instead, the other central banks blinked and went back to aggressive ease,&nbsp;and the Fed is following them. This is a [&hellip;]<\/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":[124,7822,213,431,7544,3650],"class_list":["post-44416","post","type-post","status-publish","format-standard","hentry","category-economics","tag-central-banks","tag-crack-up-boom","tag-dollar-collapse","tag-interest-rates","tag-john-rubino","tag-us-federal-reserve"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/44416","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=44416"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/44416\/revisions"}],"predecessor-version":[{"id":44418,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/44416\/revisions\/44418"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=44416"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=44416"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=44416"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}