Monetization

Monetization

As D-Day Looms, The Maturity Of ECB's Bund Purchases Drops Again

In its latest monthly purchase, the ECB revealed that the estimated weighted average maturity of purchases of German bonds under the ECB’s PSPP in July declined once again to around 5.18 years vs 5.33 years in June, although it was modeslty higher compared to the record lows of 3.99 years in May and 4.7 years in April and March.

When Will The ECB Run Out Of German Bunds To Buy: Here Is The Math

If the ECB were to reduce the pace of QE to €40bn per month starting in January, it should not run out of German government bonds to purchase until early 2019. On the other hand, if it keeps the current pace of QE, it will run out of paper in late 2018, and even with a downward revised €40bn monthly total, the ECB will have almost no German bonds left to buy in 2019.

Stockman Warns Of The Imperial City's Fiscal Waterloo

"The stand by Senators Lee and Moran was much bigger than putting the latest iteration of McConnell-Care out of its misery. The move rang the bell loud and clear that the Imperial City has become fiscally ungovernable. That means there is a chamber of horrors coming. With it, an endless political and fiscal crisis that will dominate Washington for years to come. Its cause is deep and structural."

Abe's Days Numbered? DB Warns Japan PM "May Be Forced Out" Leading To Spike In Yields

The Abe cabinet's approval ratings have kept falling and are now in the sub-40% "danger zone". It is now starting to look as though Prime Minister Shinzo Abe might be forced out of office until the Liberal Democratic Party leadership race scheduled for September 2018, in which case JGB yields might be at risk of climbing quite significantly.

Ron Paul Warns "Central Bankers Are Always Wrong...Especially Before A Bust"

"...The attitude right now is that Keynesianism and deficit financing and printing money and militarism is the solution but it’s all coming apart... the authoritarians are clinging to power so they can collect the revenues and make sure you’re not getting around the system. That’s what the cashless society is all about..."

Speculators Sour On Gold And Silver

The stars - in the form of smart and dumb money futures contract positions - have once again lined up favorably for precious metals.

Draghi Said To Address Jackson Hole Followed By ECB QE Tapering Announcement

ECB's Mario Draghi is scheduled to address the Fed's Jackson Hole conference in August, "in a speech that is expected to give a further sign of the ECB’s growing confidence in the eurozone economy and its reduced dependence on monetary stimulus" with the WSJ adding that just two weeks later the ECB will then announce the start of its QE taper.

Ron Paul: Trump's Budget Projections "Bear Little Or No Resemblance To Reality"

President Donald Trump's proposed budget has generated hysteria among the American left. Prominent progressives have accused the president and his allies of wanting to kill children, senior citizens, and other vulnerable Americans. The reaction of the president’s allies - including some conservatives who should know better - is equally detached from reality...

Welcome To The Corporatocracy

The interests of Washington and large corporations have merged so completely they are now inseparable.