Archive - Aug 2015 - Blog entry

Internet goes batshit...

We are heading for a crisis that will be exponentially worse than 2008. The global Central Banks have literally bet the financial system that their theories will work.  They haven’t. 

With gold languishing near deep secular lows, its technicals look hopelessly broken. Sentiment is off-the-charts bearish, with traders universally convinced gold is doomed to spiral lower indefinitely.

It began in Dec 2008. To understand it, it is necessary to understand two principles. The first is that gold is money and the dollar is credit (which is currently worth 28.4mg gold). For the second, we emphasize it's not just price, but separate bid and ask prices.

Beware of wigs dressed as sheeple...

Well, the San Francisco Bay Area startup-for-everything economy has now reached a new low..........

5 effective ways to deal with "naysayers" (Paul Krugman including)

Here is an overview of next week's events and data placed in the larger context.  

China: "I wish that I could be like the cool kids. 'Cause all the cool kids, they seem to fit in."

If Tesla doesn't start to get its act together with respect to delivering new products and getting their service back into its former tip-top shape, I suspect the symbol TSLA will make a long, tortured trip back down to the double digits.

In simple terms, Greece from 2003-2010 was an economic boom driven by incomes, which were in turn driven by cheap debt NOT real organic growth. Thus, the collapse in GDP was yet another case of “price discovery” in which asset prices fall to economic realities…

Another Crisis is brewing. It’s already hit Greece and it will be spreading throughout the globe in the coming months. 

The demise of the dollar has been greatly exaggerated.  Here is how I see the near-term outlook. 

"Does this country need a hug?" Well, Jon, actually, yeah, it kinda did.

Busted ...