This page has been archived and commenting is disabled.
Bill Fleckenstein Blasts "The Price Of Everything Is Out Of Whack"
"People are, once again, being fooled," fears Bill Fleckenstein in this brief CNBC clip, warning that investors buying into the stock market at all-time highs here are making a grave error. Investors are ignoring fundamentals at their peril, "in the stock mania in 1999, people were bullish because stocks were going up. In 2007, people were bullish because stocks and real estate were going up. They didn't look ask - Why are they going up? Is this sustainable? Is this healthy? - and in both cases, it was not." In the current environment, the bubble Fleckenstein points to is powered not by tech stocks or real estate, but by the Fed's quantitative easing program. But, he warns, the Fed is losing control of one key market...
"Now we have the Fed suppressing the bond market such that rates are ridiculously low, and capital is being misallocated everywhere, and the price of nearly everything is out of whack," Fleckenstein said.
But he says the Fed is starting to lose control already - meaning that stocks could crack even if the Fed continues to buy $85 billion worth of assets each month.
"Interest rates on the 10-year bonds have risen 100 basis points since last spring, and there's still no tapering," Fleckenstein noted.
"So why have bond rates risen? I think the Fed is no longer able to dictate where the bond market is going to trade. If that's the case - and I say 'if' - then the game is going to change prospectively, because if the Fed loses control of the bond market, it's not going to be able to have unilateral say in where assets trade."
Specifically, Fleckenstein is watching the 3-percent level on the 10-year yield very closely.
"If the bond market trades through 3 percent in the absence of some superstrong economic data or an actual tapering, then it will be clear that something is radically different," Fleckenstein said.
So once things do change, how low can the market go?
Without getting specific, Fleckenstein said the stocks will head "a lot lower, and enough lower to make people really unhappy."
Via CNBC Futures Now
- 46402 reads
- Printer-friendly version
- Send to friend
- advertisements -


30 yr almost at 4% has got to help.....
Astonishing that CNBC would even have Fleck back on their 'Street propagandist network.
Token party pooper...
Russian hacker cracks open Yomommacare website security and steals all information on those who signed up:
http://www.whatdoesitmean.com/index1721.htm
God damn, Bill's hair is the very definition of sexy.
I am Chumbawamba.
Chumba..., is there a little jealousy there?
.
Screw the markets. How does that old man grow so much hair. There's a fortune in that Dad gum elixer. Leroy, get a tweet out to that pilgrim, mondo pronto. Time's a wastin.
Interesting. In battle, fighting with long hair usually means you're going to end up being dragged around like a bitch by your opponent.
I like Bill..
but I also would not mind being in combat with a guy with flowing locks or better yet, dreadlocks or a pony tail.
..more to grab on to and lever with gravity.
"..more to grab on to and lever with gravity. " I see, like something to grab on to and get ahead of when you have to run for your life.
Catchup via hyperinflation?
Some seem to think so.
http://www.planbeconomics.com/2013/10/hyperflation-via-currency-crisis-i...
I got it. I know where I've seen this guy before. John Travolta from the 'Welcome Back Kotter' days.
https://www.google.com/search?q=john+travolta+in+welcome+back+kotter&rlz...
Bill is cool.. read his book.. "Greenspan's Bubbles'..
lots of interviews on KWN.. always a solid perspective..
evidently, he closed his short in 2009.. I wish I knew what he did back then.
..but now, we all know what he knew then..........
Bill Fleckenstein has always been one of my favourite interviews to listen to on KWN.
Fleck, Grant, Turk, Sprott, Williams, Kaye, Roberts, Maguire et al…..
So much sanity, it enough to make a guy go stark, raving Celente.
(Um.. Gerald .. just creating some contrast - luv you ,too)
You gotta' love the disclaimers at the end..
Flee! Flee! ... run for your lives! ...
..i agree.. it is time to run
so what about "unhappy" do people not understand??
He should say he'd cut his hair if he is wrong.
It would give him more credibility than a zealot swearing on their religion.
He's just another talking piehole, they are guessing at what will happen, aren't you all? Who can figure this shit out with math or charts? Nobody can, it is THAT FUCKED UP!
We may never see sanity again, that is a sad thing to think about.
Love me some Schiff logic, and a Celente rant every now and then. This guy looks like Vinny Barbarino, not saying he is wrong though, hardly, he seems to have something there.
yeah,, but give the guy credit.. he admits to the unknowing time frame and the inevitable consequences.
We are all bozo’s on this bus waiting for the next stop.
He knows what he's talking about. I've read his stuff for over 10 years. He was predicting the housing collapse years ahead of others. He saved me tens of thousands of $.
Good choice with Fleckenstein. Also Art Cashin is respectable and I also listen to Pento, Eveliard and that Franco-Nevada guy. Please let me point out that the others, and the KWN site overall, are a bunch of pumpers. Guys like Turk and Sprott and Embry are sane but they talk their book so you have to be careful. The others, especially that "Whistler's Mother blower" Macguire is full of S***.
Long hair care products. Bear he might be, but he is definitely supporting the economy. I bet CNBC has to bring in an extra hairdresser every time he drops by for an interview.
In the ring I lift my opponents off the mat by their hair.
Juiced up homo-eroticism at best.
I regret to inform all of you that its not just his hair.
True bromance?
I'm going bald. Wish the FED could QE on my cranium.
Going bald is a choice. I have hair. My parents and their parents had hair before I was even born and I have hair now, therefore everyone who does not have hair must be defective or otherwise lesser. Just try harder.
The Ayn Rand Hair Club for Women.
LOL! LTER, very high brow humour excuse the pun.....pretty sure i played against this guy in an Okotoks Junior 'B' game circa 1977. He like to toe drag and go top shelf so i caved in his face with my Sherwood on a dangle to his feet. It appears he went into American economics after that.....fucking pussy, seems to be a lot of those types assembled there
Nice hair. But he looks like Huey Lewis' mildly retarded brother.
That hair looks terrible. Looks like he's stuck in 1981 at a Van Halen concert.
what are you.. some kind of commie??? :-)
http://www.youtube.com/watch?feature=player_detailpage&v=JHRZdOrdYDs
(I would love to be back there knowing that it will take at least 30 years for it to all go to hell.)
You say that like we don't have 30 more years of this BS left to go.
Oy... (and I'm not even Jewish) ..
Let's see... 100 years into this currency regime.. most others in history had a hard time making it past 50..
Dollar has less than a couple percent of it original purchasing power.. dot guv is insane CF..
- I'd say it will have a hard time hanging in there that long.
as opposed to what?? follow the flavor of the week and be "in style"
real men have their own style and could care less about trying to be with the "in crowd" or look in style, that always reminds me of my sisters LOL
:-D -LOL when you know that the "Conan the Barbarian" look will be back in vogue soon.
..how much for the little girl??
and.. how many here have dined at Chez Paul on the near north in Chicago..
and.. how many have had a joy ride in a '67 Monaco fleeing from the cops?
..a true story that should be told. maybe someone will drag it out of me.
http://www.youtube.com/watch?v=GDXYzUlv0S8..
Both of them?
Holy crap!
So what did they steal? Maybe there's some politican's boy lover with aids who signed up.
Except that no politician would ever sign up, nor must they.
It's only for sheep.
I said, some politican's boy lover with aids must have signed up. There's always a juicy story if you know what to look for on a short list.
Sorcha Faal is notorious disinfo. Occasionally there are interesting sources, but beware.
Yeah....except Alexsey Belan was added to the FBI's Cyber Most Wanted *yesterday*.
http://www.fbi.gov/wanted/cyber
"Global Financial And Trading Platforms On System OVERLOAD"
"The global financial and trading platforms have become overloaded by the competing demands and overwhelmed with fierce competition among too many players at the top of the Pyramid (as in scheme). The top 1% are now playing a very serious game, the skirmishes of which have broken out into the open as never before."
http://stateofthenation2012.com/?p=2377
```
"Astonishing that CNBC would even have Fleck back on their 'Street propagandist network."
Unlike many, I don't get all that excited by CNBC. I don't have the time or energy to go stark-raving mad over TV folks I don't know. I like the news and some commentators since they do, unlike the MSM, give contrarians a chance to gab for a while. Of course it's their job to push securities and sweet talk the economy. They've done a pretty good job if the stock market is any indication although as has been said repeatedly, when adjusted for inflation it's not that much higher. It's like comparing movie ticket sales of $3 movies in 1980 to $13 in 2013.
CNBC mandates 1% reality check as fair offset to their 99% cheerleader squad.
Has to have long hair to offset suit and tie - who the fuck is gonna pay any attention to a cross-over hippy?
Gold Miners Are Ready For A Launch
We have the very interesting action today in Gold and Gold Miners. With Gold hammered down on the bad news for the sector: "very strong payroll numbers" - which should imply Taper Impulsive Disorder again - Gold miners refused to sell off and made the reversal with many names closing Up for the day. It will be important this time to see for how long Gold will stay below $1300 again. This kind of diversion in Gold and Gold Miners is the very good sign, when Gold Miners are leading the Gold prices Up. http://sufiy.blogspot.co.uk/2013/11/gold-miners-are-ready-for-launch-gld.html#
The train is leaving the station...
To the moon, baby...
Wake me when it re-coops $1500
re-coops? is that anything like chicken coops?
I'm only a dog..., and I haven't had a drink yet.
OK?
You're right, Royal Gold has had a great year, only down 48%.
Have you ever heard of the allegory of the cave?
Right, so rgld's plunge is all shadowplay. Ohhh loookkk you think rgld is plunging but if only you knewww reality!! RGLD is soaring!!
only train leaving the station has printers loaded and heading to federal reserve h.q. to manipulate paper price to sub production levels. and it is working for now. back is broken in the markets of reality / phys for now. for me a grand opp to buy phys and step it up to 8 oz increments. TIA fuckers/manipulators of reality/ponzi masters of the money changers. stacker anon...lifejackets are standard fare.
http://finance.yahoo.com/echarts?s=DGC.TO+Interactive#symbol=dgc.to;range=1d;compare=;indicator=volume;charttype=area;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;
BTFATL?
these fuckin miners get what they deserve - they let the paper price determine their viability and ultimate survival or loss of profits! are you believing this to be true? can it be? think they are fucking idiots. sell their phys ina phys traded exchange and fuck the etf/paper bullshit pricing. fucking joke and i hope they all loose there asses and are liquidated and sold for 50 cents on a dollar/scrap value. put em on the fed balance sheet cause that is where they deserve to be...
SMDASTFU?
I'm not a gold bug (more a silver bug), but +1 for 'Taper Impulsive Disorder'.
Unhappy? Destitute is more like it.
Nudge me when the shit actually hits the fan. This is getting tedious. I'll be in the corner drinking.
Bond prices were higher in July of 2012, big deal.
It''s duh New Nawmul.
Reality alert : 10y JGB @ .58
< get a haircut, Bill >
I'm Sorry, Bill
Great hair!
Cement wig, hot in KaLi right now.
Fleck is a wise man but that comment is damn funny.
i think the bulls were really unhappy with the market down 30 yesterday. your target was reached buddy, good job.
Fleck is amazing. I am surprised he agreed to even show up at CNBC. He thinks that station is useless.
I think CNBS is useless too, so I didn't even bother to show up.
So there.
reaching around trying to tweeze back
Reach around: you're doin it wrong.
Knucks - you would be GREAT on CNBC (our favorite station), but only as long as you wore the pinhead mask...
yes, but, it's unfortunate the article didn't adress him by his proper title: legendary investor bill fleckenstein
He is correct. There is only AND ONLY ONE real market: bonds
Everything else is window dressing.
If and when that goes, Mad Max will look like Mayberry.
alas, Dingleberry, you are wrong - there are NO real 'markets' presently.
Fleck's a smart dude.
These compelling histories are kept out of sight!
http://patrick.net/forum/?p=1230886
The people are being DAMN-fooled!
***Hey you attorneys ... Deception by omission is false advertising, which is a fraud, which is a federal felony!!!
first off...and I've never said this before...but I really am a silver addict. I know we're nowhere near the Hunt Brothers high of fifty bucks...but if I had an income stream and free cash flow machine worthy of the name (cough cough Amazon cough cough) I'd be buying every ounce of silver out there right now. second the clowns who were just dicking around the last five years (cough cough XOM cough cough) have just woken up to "the world of Continental Resources." these things don't normally happen which is why I like point out what a truly great 'merican that CEO is. Amazingly he's still drilling! I know this isn't politically correct but I feel like Hitler having just taken down France. "I might have been a nobody but you'll never forget me now." in any case "this is just the tip of Titanicus Maximus." cloud computing, three d printing, carbon fiber....I mean insofar as "capital expression" goes even if the market insanity corrects 40% here (which would be a healthy thing in my view) the folks who went all in on recovery after the collapse have truly knocked the ball out of the park here. to XOM's credit they've gotten the memo and are ramping up production. CVX has never stood idly by so that California based energy giant looks equally imposing as well. GM eliminated the bond holders as part of the bailout..something I would argue was a big mistake....needless to say I would not be shorting that company going forward here as well. there is no repealing of the business cycle. it exists irregardless of anything you and I say and do. I was bullish in 2008 precisely because the business cycle had rolled over right at the moment of maximum Wall Street Delusion...and contrary to the interpretation of everyone that "the Fed didn't see the bubble"...well, they sure ACTED like they did...whereas Wall Street went full on Thelma and Louise. so policy makers are messing it up again eh? they just need to "get out of the way and let free market capitalism do its job"? well, you won't get an argument about free market capitalism going above and beyond the call of duty from me. but this is NEW money that did this...not the old. Are DuPont and British Petroleum going down as a consequence? I sure don't feel that way. Are we in a bubble here? of course we are. Equities are ALWAYS in a bubble. What is truly rare is to see debt both this cheap and this readily available. those who have withheld credit here have truly missed out on something truly spectacular. as someone who was all in from day one of QE (screaming like a maniac I might add) I never thought we would be where we are today as a result of these extraordinary policies. As a consequence my personal view has been we're way over extended here. but of course..."markets always undershoot...and over shoot." with Tesla everybody's whipping boy now le me add "hey, at least Elon did something with the money." unlike NASA that included launching a rocket into space where an engine blew up but the rocket still maintained integrity I might add. oh, and "don't mess with the Vinklevoss Twins."
That was very Proustian, interesting thoughts...
Paragraphs dude
Only two words, yet you could have used a comma.
Whatever you're taking, you should either double it or cut it in half.
That bad eh. Hehehehe. Buy silver...it's a bargain.
I love you disabled Vet (I'm a vet [VN era]), but only mentally disabled...
I suspect you were drunk when you wrote this - it is a bit more incoherent than your usual posts - but I don't care. There is truth in drink (or your recreational drug of choice - I live in the Emerald Triangle, but don't grow or smoke it, but am fine with those that do, I used to many years ago, and yes, l DID inhale); but I am SO conflicted - I agree with you while owning a fucking TON of XOM and CVX - and I have owned them for years and years and have a cost basis that would bring tears to your eyes. I'll never sell those fuckers - the kids get them when I die at a new cost basis, and they can sell them and buy something worthwhile and future oriented. Meanwhile, I live on the dividends and perform a lot of community service in my rural area. (I did sell the fucking DD though.) And I agree totally with you on Elon - he is the NikolaTesla of the day
http://en.wikipedia.org/wiki/Nikola_Tesla
and that is why his car is named 'Tesla'.
Yeah, the stock is way overpriced right now, what stock isn't? AND Elon is saying so. Is there any CEO in America more honest?
And this list keeps trashing Tesla?
Sometimes, you guys get really clueless. The Tesla S has a soft underbelly which will be corected. Bet on it.
For a group of people (ZHers I'm talkin' about) so market oriented, you are as blind as CNBC. You are anti-solar and anti-any energy alternative to the max.
You don't get it. The future of solar is decentralization - I have been off the grid for 40 fucking years now, and solar WORKS = ON A LOCAL LEVEL.
As a big corporation, huge solar/wind whatever distributed through THEIR grid, not so much.
Get your head out of your ass you guys - the very things you rail about = big corporate control etc, you buy into every time you say solar power/alternative energy won't work. Yeah, it won't work if you are in an apartment in the the big city - any big city. But if you are in an apartment or rental house in the big city or suburb, you are part of the fucking problem, and you will not admit it. You are fucking owned by the man.
So down arrow me you assholes...Continue to play the game that you are morally superior to the 'sheeple' while you (maybe subconsiously) support the world you rail against because you do not have the balls to REALLY cut the cord. YOU are as much sheeple as the sheeple you rail against.
Think seriously about where you are and what you are doing right now.
I'm 74 years old, I minored in economics (MBA from a long time ago) and the ONLY economic 'law' that is true is TINSTAAFL. This is espcially true in energy/power.
Solar heated water is the best cost/benefit ratio alternative power presently - good for almost anyone that owns their own home. (Yeah, fuck you folks that want to argue you don't own your place because of taxes - who the fuck is gonna pay for road maintenance - I pay for my own to the county road, and I don't mind paying some taxes to maintain that county road or the state freeway - fucking idiots, there is SOME stuff that is worth paying taxes for assholes.)
Sometimes. the Randians on ZH get a little out there - we need some gubernmint, just a lot less than we have right now. Don't trash it all.
And yes, the 'markets' are dead 'cause of the Feds $85B a month to keep the rich happy and the market propped and the bond market depressed, and yes it is gonna bust - Real Soon Now.
But we can go broke predicting the bust... ;-)
And finally, as a hardcore day-trader/ZH on the side, some of you guys need to moderate your medications...
What the bond markets have done in rising 100 bp is what markets are supposed to do - discount the foreseeable future. Now some tapering is already being priced in, not sure how much to be honest, but there is always the chance that, when tapering is finally announced, interest rates may fall. So there is absolutely no evidence that the Fed is losing control of the market.
The Fed mentioned tapering and the bond markets teeth were set on edge. Now what? Everything has become unclear. The silver market flies when the ECB announces a surprise rate cut and then tanks when the US releases some hollow economic numbers. The real act of the ECB was far less powerful than the merely imagined act of the Fed. Look at what happened in the PM markets. Gold tanked and SPX was down but then magically up, up, up. Nothing makes sense anymore. If you didn't know it was POMO day, the market's surge would be inexplicable.
How dare the Fed even threaten to take this pure intravenous goodness away?
Fleck doesn't understand the bond market. QE causes higher growth which causes long interest rates to rise. Bond yields would be lower without QE as the economy slides into deflation. Higher rates are signaling that QE is working as intended. A steep yield curve is bullish for equities. Always has been.
"QE causes higher growth" LOL
You get the dipshit of the year award for that one.
12% in North Dakota. Double the rate of China's...with the inflation to prove it. Record profits at all the money center banks coming...and for Life Insurance companies as well. You might want to start by swilling tequila. Average size of high end apartments in New York City has doubled over the past 5 years...classic signs of a bubble. And yes your taxes are going to go up to pay for it.
Your false premise: "QE causes hgher growth"
if by growth you mean general growth of the economy, rather than juicing certain asset prices.
Interest rises can rise during a tme of real growth.
Deflation has occured . . . for those who must tap into their savings because of near zero interest rate returns (the plight of many retired people).
HIndsight is 20:20 But if you now wished you'd put more money into the basket called the stock market back in 2008, do you do the same thing now in 2013 ? Many didn't think things could keep up this long, will they go on forever ? An ever rising QE driven stock market ? Or will some 'super event' like a Black Monday 1987 occur, just after you decided to start tossing more of your money into the Fed pumped market ? Your stops are over run and in the rush to the exits, you can't get out - - - like most people.
With a crystal ball, it'd all be easy.
In summary: Sovereign debt bubble, Bond bubble, Stock Market bubble, Student loan debt bubble, Car Loan Debt bubble, Housing bubble. Then add MBS fraud, LIBOR rigging, FOREX rigging, Drug money laundering, Energy price rigging. Did I miss anything? (Please feel free to complete).
Nah, everything will end well. Yep, I am damn sure of it.
(I need a drink and off to the weekend I go).
Damn, Bill looks like his former gig was as frontman for a 70s/80s tampon rock band...
Hmm...Whitesnake or Winger.
They are very unhappy when it goes down 10 points ....
The System Open Market Account (SOMA), managed by the Federal Reserve Bank of New York, contains dollar-denominated assets acquired via open market operations.
Security Type Total (in Thousands)Total SOMA Holdings
3,564,721,548.3
$3T balance sheet. The market freaks out when the Fed so much as hints at decreasing the rate at which the balance sheet is growing. Can anyone even imagine the bond market's reaction to the idea of reducing the balance sheet?
Question: Who is doing the freaking out?
Answer: The people who have pushed the stock market into a bubble for short-term gain, refuse to pay taxes and fatten up their bonus accounts. The hell with them!
They may indeed go down, those fats pigs, but they'll be riding us all the way.
They will be the first to the door and off to New Zealand
Typical sheep-fucker maneuver.
Yes because it has already happened (briefly.) Gold prices collapsed, binds got whacked, the dollar soared, Detroit went bankrupt. The stock market briefly declined only to soar to new all time highs.
Who he fuck gave you the down arrow?
Clueless or paid troll?
Fleckenstein says in one sentence that the Fed has pushed interest rates to a ridiculously low level, and then, two sentences later he says the Fed has lost control of the bond market because the ten year note has risen 10 basis points in the last few days. Which is it Bill? As all statisticians know, when you want to prove a point with statistics, the trick is to choose the right starting point. Thus the 10 year has risen 100 basis points from its all time low. So what? A normal level would be slightly more than inflation for a "risk free" investment. This would put it at 2.5 to 3 percent, and, voila, that's what we've got. But Fleckenstein may be right in suggesting that this level can only be maintained by Fed purchases, since the Japanese are no longer able, and the Chinese are no longer willing, to buy more bonds. Hence, the Fed is trapped into printing money until the Congress balances the budget.
Fleckenstein has previously expressed his frustration that the whole system should have collaped long ago. We are all just waiting.
until the Congress balances the budget.
hahahahahahahahahaha
The criminally stupid Bernanke and Yellen will just print $200 Billion or $500 Billion a month....THEY ARE THAT STUPID!
keep on stackin bitcheez
keep the life jackets handy
Why do these guys smile and state the obvious......oh I forgot, not everyone reads ZH.
At least put your mullet away for the interview. I like his ideas, but CNBS was just shilling him for their "airport crowd". The guy got used.
If we want to put CNBS in their grave, we need to destroy the last bastion of their reach! (mass transportation)
CNBS thrives on mass transportation. ( provide better<> TRUTHFUL) no douchebag lobbyists and advertisers.
$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
Would you stop looking to the MSM for "news" already? How long do you search for a virgin hooker before you realize you're being daft?
+1 for 'virgin hooker'
For some reason the proportion of down arrows to up arrows here is abnormally high. About 88 down to 100 up.
Arrows mean nothing unless the bowman is pointing towards you.
Read from p. 56 if you want details of what happens when collapse comes http://www.feasta.org/wp-content/uploads/2012/06/Trade-Off1.pdf
Excellent link!
Many thanks for your post. Well worth the time to read and digest.
Will pass this along to many.
With a H/T for the humble rocket scientist.
Many thanks to Forwarho - I would not have gone there without your post.
This is hard work - not for sheeple, but a good read and thoughtfull broad-brush analysis.
From the forward:
"A networked society behaves like a multicellular organism...random damage is like lopping off a
chunk of sheep. Whether or not the sheep survives depends upon which chunk is lost....When we
do the analysis, almost any part is critical if you lose enough of it.... Now that we can ask
questions of such systems in more sophisticated ways, we are discovering that they can be very
vulnerable. That means civilisation is very vulnerable.
Yaneer Bar-Yam1"
At some point, a chunk of sheeple is gonna get lopt off, and things ae gonna get ugly.
Georgia Guidestones Guys
Page 33 explains the situation, and the prognosis is not all that encouraging.
http://www.feasta.org/wp-content/uploads/2012/06/Trade-Off1.pdf
Bill's fucking hairdo is "whack". Does he sell records on late night tv ads? He looks like the guy off of that old commercial, the President of the Society to Bring Back the Seventies.
You know dude has all the E.L.O. on vinyl.
Former lead singer for "Journey". Still shillin' for that "Wheel in the Sky".
That guy needs a haircut. Can someone photoshop him a crewcut?
Never trust folks called bill, rhymes with shill.
The stock market will go up, because the only ones still trading are computers.
If they shutdown the HFT'S volume would drop to ZERO....
Its computers trading against computers.
They will keep trading untl all the assets of the planet are transfered to the banks.
I agree with you that in the end a few bank will own most of everything. However there will be a few more slam downs to crush a few more players at the table. The big swinging dicks are playing Texas Hold'em and there's still to many players at the table.
The main aim of the political class and the central bankers around the world is to create one bubble after another for the zombie bankers to feed on. The majority of the population who actually work hard to earn their living by engaging in productive work have to pay the price by either loosing a majority of their earnings in the form of taxes, interest on loans or paying the bill for the bailouts.
http://www.marketoracle.co.uk/Article40231.html
Well at least he is consistent ... Greenspan, Bernake ... now he will be Yellin again
lost decade bitchez!
Is that a pic of Fonzi ? Aaaaaaaaaaaa
FED can't put the crack pipe down.
Supply and demand are not relevant to market indexes.
BTFATH
The FED took technological control of market indexes at the end of 2011.
The '70's look to have been very good to Mr. Fleckenstein.
Considering he's somewhere near 60, I'd say he looks damn good.
But but but this time is different.
The United States is in a full blown depression. People feel helpless, and are going to start "bearing arms"!
hey its fonzy eehhhhhh
Amen...Bill Fleckenstein
you all are dreaming about confidence fairies
no way interest rates go up
10000 boomers a day retiring
they would love higher rates
Then they shouldn't have voted for and/or given all their money to corrupt assholes for the last four decades. Fuck em.
I WOULD NOT ADD TO SHORT TREASURIES YET BITCHEZ!
There might be a last fighting move from the Fed to buy more Treasuries, and increasing.
If the Fed does actually do that, you can short with abandon as the Fed prints.
I've always thought Bill Fleckenstein to be of sound mind. A real critical thinker on all matters economic. Here he proves himself yet again.
Only hope for markets is the return of Lex Rex.
As i've said, there will be no taper imo. A hint of real tapering will send yields beyond 3%....as we've seen before. Actual tapering would send them toward 4% and make more idiots believe the economy is robust when it isn't. It would also make the debt interest at a level where it would squeeze govt more, hurt GDP, and drive up borrowing costs for business which will hurt their bottom line. Can't have any of that in an election year. The job numbers, at least the underlying ones, show no signs of real momentum in sustained hiring. The GDP numbers were bolstered by govt spending and inventory....not exactly historical indications of a more robust economy.
It's not a question of being right/wrong as the question is simple: who appointed Yellen and what are his objectives for the coming year...an election year. I can only conclude you will see MORE easing before you see any tapering. Thus, I think you will see rates closer to 2% than 3% when it is all said and done over the next 6 mths. In the meantime, the charade of taper/no taper will continue. In the long run, I believe what Kyle Bass says that once Japan or Europe breaks and is forced to deleverage you will see US 10yr Treas yields at or below 1%. I disagree that nobody will see it coming but most will ignore it and be caught in riptide.
BitCoin in doubling mode: Last price:$384.97500
Are you sure it's the stocks that over-priced. Could it be the dollars you're using to buy the stocks that represents the whacked? Didn't Altucher predict this? Hmmm.
Could it be you have no concept of the term 'nominal'? Could it be that you'll reap the rewards of your 'growth' with confetti?
China, India, Turkey and Thailand Buying Record Amount of Gold - What Do They Know The Others Don't?
These two charts present the big picture in Gold Supply and Demand the best. When Central Banks are distorting the markets by suppressing the Gold price the increased Demand is overwhelming the diminishing Supply. The Game of Musical Chairs in Fractional Reserve Gold System continues, but it is very close to its logical conclusion with COMEX deliverable Gold being leveraged of 59 times at least. http://sufiy.blogspot.co.uk/2013/11/china-india-turkey-and-thailand-buying.html#
I don't think the FED ever really had control - not the way I define it - more of a manipulation.
The FED allows some people to make buckets of cash if they do what the FED wants - I get that.
Sort of like a parent offering to give their kid candy if they do what the parent wants -
Pick up your toys and daddy will give you a candy bar - do your homework and daddy will take you for ice cream.
Really poor way to raise a kid - really poor way to run a country.
FU BEN.
What most people fail to recognize is that stock market bubbles have historically been the main way for the US to keep it's current accounts a bit balanced since the 70s (until MBS's). A stock market bubble and crash is not really that bad for the US ... because it repatriates money. The losers are by and large foreigners, the winners are by and large Americans.
It's hard to believe European pension funds and sovereign wealth funds are being suckered into this so fast yet again, but here we are.
theres a bear on the loose - has a Jim Traficant hairdoo that some people think is real
but might possibly involve ancient aliens
That hair does look like "not of this earth" technology. LOL.