Yen

Tyler Durden's picture

Bill Gross: "Central Banks Have Gone Too Far In Their Misguided Efforts To Support Economic Growth"





"None dare call it a “currency war” because that would be counter to G-10/G-20 policy statements that stress cooperation as opposed to “every country for itself”, but an undeclared currency war is what the world is experiencing. Close to the same thing happened in the 1930’s, a period remarkably similar to what many countries’ policies resemble today....  Negative/zero bound interest rates may exacerbate, instead of stimulate low growth rates in all of these instances, by raising savings and deferring consumption... Asset prices for stocks, high yield bonds and other supposed 5-10% returning investments, become stretched and bubble sensitive; Debt accumulates instead of being paid off because rates are too low to pass up – corporate bond sales leading to stock buybacks being the best example. The financial system has become increasingly vulnerable only six years after its last collapse in 2009.... Central banks have gone and continue to go too far in their misguided efforts to support future economic growth."

 

 
Sprout Money's picture

Don’t Be Fooled By The Gold Price





American investors might be extremely disappointed with the recent performance of the gold price as the yellow metal is once again trading below $1200/oz. This causes a lot of people to frown, but the reality is that the gold price is actually showing signs of a break-out.

 
Marc To Market's picture

Did the Dollar Get its Groove Back?





The US dollar firmed at the end of last week.  Does this mean the bull market has resumed after the consolidatig its gains in February?  

 
Sprott Money's picture

Gold: The Good, Bad, and Truly Ugly





Although it may be unrealistically optimistic, I believe my paraphrase of a Churchill quote:

 

“Central Bankers will eventually do the right thing and return to a gold standard after they have exhausted all other alternatives.”

 
Tyler Durden's picture

Regret? Why Take A Chance





Behavioral economics suggests that a little QE can change human behavior at the margins, but no amount of QE is enough to change human nature at its core. The High Priests of the IMF, the Fed, and the ECB are blind to this because all of modern economic theory – ALL of it – is based on a single bedrock assumption: humans are economic maximizers. Yes, we are maximizers of reward. But we are also minimizers of regret. We seem destined to learn the hard way... once again...  that you can’t change human nature by government fiat. But individual investors and allocators can listen and learn from these old good ideas, and that’s how you survive the Golden Age of the Central Banker.

 
Tyler Durden's picture

Chart(s) Of The Day: Gasoline, Greenback, & Ghosts Of 1937





Is it time to spread Heating Gas and Gasoline in anticipation of the arrival of Spring? Is China "devaluing" the Yuan as policy? Is Ms. Yellen is taking rather more of a gamble than she is willing to admit?

 
Tyler Durden's picture

With Greece Swept Under The Rug, Focus Turns To Janet Yellen's Congressional Testimony





There was an expectation that today's receipt by the Troika of the revised Greek "reform proposal" would send risk and the EUR higher, which is probably precisely why nothing has happened so far, and US equity futures are unchanged ahead of what the HFT algos' new attention focus is today, namely Yellen's semi-annual testimony to Congress. As a result, the only thing that has seen notable strength this morning is the USD, which has surged to 119.50 against the Yen, and briefly pushed the EURUSD under 1.1300. which also means that WTI has also gone nowhere overnight and remains under $50. One wonders just what OPEC "rumor" those long crude will leak today.

 
GoldCore's picture

“Global System Catastrophe” Is Key Threat To Human Civilization





Global economic collapse, artificial intelligence and nanotechnology have been named alongside nuclear war, ecological catastrophe and super-volcano eruptions as “risks that threaten human civilization” in a report by the Global Challenges Foundation.

 
Tyler Durden's picture

"You Don't Buy Home Insurance After The Roof Catches Fire"





US stock markets reached record highs last week. Question: does that make them riskier, or less risky? We think the former.

 
Tyler Durden's picture

Why ZIRP/NIRP Is Killing Fractional Reserve Banking & Forcing Deposits Into Gold





With historically low long-term interest rates, the opportunity cost of holding gold and silver are close to zero or even negative, in other words you would “lose” money if you buy bonds (the benchmark) instead of gold and silver. When people realize that their money is not “safe” with the banks they will start withdrawing cash from their accounts and buy physical gold and silver instead. Depending on circumstances this could possibly bring down the (fractional) banking system. Why keep money in an account that gives you a negative return? Swiss banks are already witnessing stronger than normal interest for physical gold.

 
Tyler Durden's picture

Is Japan Preparing For War?





Back in 1940, the US plan was to "entrap" Japan to declare war on the US - a declaration which the US would have long anticipated - which would then allow America to engage Europe and Hitler as part of its broader entry into World War II from which it had been previously separated. The plan worked out when just over a year later, Japan bombed Pearl Harbor. Today, some 75 years later, is that same plan being redrawn?

 
Tyler Durden's picture

Is The Bank Of Japan 'Managing' US Stocks Today?





Two months ago we showed, and explained in great detail, how in the new normal the role of gold is nothing more than a funding "currency" to allow the BOJ to sell Yen against it (on a borrowed basis, which is also why the LBMA halted reporting its GOFO data as of the end of February, as it would not be pleasant for the central bank cartel to demonstrate just how much institutional gold shortfall there developed following major BOJ interventions). So for all those who are curious what it looks like when the BOJ "enters the house", here it is...

 
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