Reserve Fund

Taxes: Here's What's Going To Stay The Same

"...even though the euphoria and expectations about this new proposal are totally overblown, there are still plenty of gems from the current tax code that aren’t going anywhere."

Ahead Of Critical Vote GOP Unveils More Changes To Health Bill, But It's Not Enough

With just two days left until the House is set to vote this Thursday on the critical Obamacare repeal bill, where an adverse vote could lead to the biggest blow to Trump's domestic policy agenda yet, House Republican leaders on Monday night released the latest set of changes to their ObamaCare replacement bill, as they scrambled to win more votes for the legislation. 

Raising Interest Rates Can't End Well

"The economy looks to me like a type of Ponzi Scheme. It depends on both rising energy consumption and rising debt. Judging from the problems we are having now, it seems to be reaching its limit in the near term. Raising interest rates will tend to push it even further toward its limit, or over the limit. The world economy is operating at too close to 'stall speed'. The financial system is too fragile."

Frontrunning: December 27

  • Monte dei Paschi Rescue Cost Jumps as Deposits Fall (WSJ)
  • Russia finds first black box from Black Sea crash jet (Reuters)
  • Prat-Gay Fired as Argentine Finance Minister After One Year (BBG)
  • Fear of Trump Triggers Deep Spending Cuts by Nation's Second Largest Union (BBG)
  • Xi’s Power Play Foreshadows Change in How China Is Ruled (WSJ)

Spain's Social Security Program Will Go Bust In 2018

Spain’s Social Security system is expected to go broke by 2018. In the US, concerns over such matters are virtually nonexistent. But Spain cannot print Euros, and is already deep in the hole on meeting budget deficit targets.

Frontrunning: July 5

  • Pound Tumbles to 31-Year Low as Its Post-Brexit Selloff Resumes (BBG)
  • Bad Debt Piled in Italian Banks Looms as Next Crisis (WSJ)
  • Stock Market to Bond Market: ‘La-La-La I Can’t Hear You' (WSJ)
  • A Prime Minister, a Referendum and Italy’s Turn to Get Worried (BBG)
  • Brexit Vote Paralyzes Companies Across Europe  (WSJ)

Oil Market Showdown: Can Russia Outlast The Saudis?

Despite the intense pain they are suffering in the low price Crudedome, both the Russian and Saudi governments profess for public consumption that they are committed to their volume and market share policies. This observer believes the two countries cannot long withstand the pain they have brought upon themselves - and this article only scratches the surface of the negative impact of low crude prices on their economies. They have, in effect, turned no pain no gain into intense pain no gain and set in motion the possibility neither will exit the low price Crudedome under its own power.

BRICS Bank Officially Launches As Sun Sets On US Hegemony

The long-awaited BRICS bank has officially launched, marking yet another milestone on the road to global de-dollarization and lending further credence to the notion that the sun is finally setting on the US-dominated multilateral institutions that have defined the post-war world and served to underwrite six decades of dollar dominance.  

Putin And Tsipras Are Meeting: Here Are The Main Highlights

While Germany has pre-emptively, and somewhat defensively, come out proclaiming Russian aid to Greece as 'no big deal' - a "routine event" - we suspect the signal that it would send would not be entirely great for the EU (and Obama's) 'Russia is evil' meme. Nonetheless, as Greek Prime Minister Alexis Tsipras meets Russian President Vladimir Putin today - just one day before The IMF loan repoayment is due, topics for discussion vary from lifting sanctions (bilaterally) or bankrolling a bailout to gas discount from Gazprom. Here's a summary...

The EU's Stalinesque "4 Year Plan"

This anti-capitalistic mentality has brought about today’s essentially bankrupt “middle of the road” welfare state system, in which governments and big business are in a tight embrace that utterly deadens economic progress. The EU’s latest “Four Year Plan” is yet another in a long list of examples of this prototypical continental tradition (incidentally, Europe’s moribund banking system is one of the end results of these economic policies as well). What is really required is a return to free market principles, not yet another “government plan”.