• Sprott Money
    03/26/2015 - 11:56
    Take the S&P Index and multiply by the US dollar index. This removes most of the currency variation. Do the same with silver. The chart of silver times the dollar looks very much like silver...

Central Banks

Tyler Durden's picture

Treasury Collateral Shortage Crosses The Atlantic, Makes European Landfall





We're just a little over two weeks into PSPP and signs are already beginning to show that the ECB is effectively breaking the market. "The soaring cost of borrowing government bonds in secured lending markets highlights the distortions caused by the ECB's asset-purchase scheme, which analysts say could clog up Europe's financial system," Reuters notes.

 
Tyler Durden's picture

What Would Happen If ETF Holders Sold All At Once? Howard Marks Explains





What would happen, for example, if a large number of holders decided to sell a high yield bond ETF all at once? In theory, the ETF can always be sold. Buyers may be scarce, but there should be some price at which one will materialize.  But we can’t get away from depending on the liquidity of the underlying high yield bonds. The ETF can’t be more liquid than the underlying, and we know the underlying can become highly illiquid.... no investment vehicle should promise more liquidity than is afforded by its underlying assets. Do these recent promises represent real improvements, or merely the seeds for subsequent disappointment?

 
Sprott Money's picture

Silver Projection, Dollar Correction





Take the S&P Index and multiply by the US dollar index. This removes most of the currency variation. Do the same with silver. The chart of silver times the dollar looks very much like silver priced in euros.

 
Phoenix Capital Research's picture

Technical Signs of a Top Forming





All of these are signs of a top forming.

 
 
Tyler Durden's picture

What Will End the 34-Year US Treasury Bond Bull Market?





The collapse of phantom-wealth bubbles could occur in the next year or two, or be delayed for another 5 to 6 years. But the implosion of phantom-wealth bubbles is assured by the internal dynamics of bubbles.

 
EconMatters's picture

Another 8 Million Barrels Added to Oil Storage





Forget about Rig Counts, we need to see Producer Counts go down considerably, until that happens the oil market hasn`t bottomed.

 
Tyler Durden's picture

Brazil Confidence Plummets To Record Low As Central Bank Admits Currency War Defeat





Four and a half years after Brazil's FinMin Guido Mantega first re-introduced the world to the term "currency wars," it appears the Brazilians have admitted defeat. Amid what Goldman calls a sharp decline in consumer confidence - to the lowest level in series history - which could also extend the ongoing macroeconomic adjustment processes and therefore delay the recovery of the economy; Brazil's central bank has announced that it will no longer intervene to support the Real via its Dollar-Swap program. In a SNB2.0-esque move, though somewhat anticipated by the market, Brazil enables the devaluation that has occurred to perhaps extend (improving competitiveness) and removing what was becoming a notable fiscal drag. Implicitly, Brazil just followed the Swiss and admitted defeat in the global currency war...

 
Tyler Durden's picture

America Is No Longer A Republic Or A Democracy





“Government can have no more than two legitimate purposes,” wrote the 18th-century English political philosopher William Godwin, “the suppression of injustice against individuals within the community and the common defense against external invasion.” But the US system of government – nourished by the almost unlimited credit that its money gives it – has swelled to a shape that would have been grotesque and unrecognizable to Godwin. To those who still maintain some romantic attachment to the ideals of the American Revolution, it is merely repulsive.

 
Tyler Durden's picture

European Bond Market May See Nasdaq 2000 Style Collapse, AXA's Haley Says





According to AXA’s Nick Hayes, the EGB bubble may end in a 2000 Nasdaq-style collapse. "The comfort with which investors are embracing negative yields is similar to behavior of those who had been underweight technology stocks in 1999 before rushing in."

 
GoldCore's picture

Global Risks To Irish Economy Being Ignored Again





Ignoring the considerable risks in the mid 2000s led to the global financial crisis. Irish politicians, bankers and financial experts, like their international counterparts, are slow learners ... 

 
Tyler Durden's picture

"Belief That European QE Will Work Is Far-Fetched," Bill White Warns This Will "End Very Badly"





"I'm not sure [European QE] is going to do anything - certainly, nothing that's good. The fundamental problem here, as I see it anyway, is that the European banking system is still broken... I think, increasingly, bankers are discomforted more than anything else (it's not just the ex central bankers but increasingly the people that are still holding the levers)... they are starting to ask whether they have somehow been backed into a place where they don't really want to be.... Unfortunately, [it] is getting bigger and bigger. There is a possibility at least that this whole exercise could end very badly."

 
Tyler Durden's picture

Philip Haslam: When Money Destroys Nations





The global debt glut, plus the related money printing efforts by the world's central banks to try to stimulate further credit growth at all costs, leads us to conclude that a major currency crisis -- actually, multiple major currency crises -- are practically inevitable at this point. To understand better the anatomy of a currency collapse, Philip Haslam - author of the book When Money Destroys Nations, and an authority on monetary history, who more recently spent much time in Zimbabwe collecting dozens of accounts of the experiences real people had as the currency there failed - explains the six 'gorge' process to hyperinflation.

 
Tyler Durden's picture

These Are 2015's "Black Swans" According To SocGen





In light of the social and economic devolution of the world, it should hardly come as a surprise that as SocGen attempts to quantify the biggest Black Swans risks (and hopes) of 2015 (yes, a foolish endeavor since nobody can actually envision what a black swan may be, by its very definition an event that was predicted by no one), it notes that "political and financial risks now outnumber real economy risks."

 
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