Posts Tagged ‘collapse of the dollar’

Bullish Today, Marc Faber Is “Highly Confident” the Future Will Be Very Bleak

Marc Faber believes capitalism and the dollar are headed towards collapse, but it won’t be reflected in the market for the next few years. He presents good reasons for the collapse of capitalism (though many would argue it’s dead already). Why is there a disconnect between his future prognosis and his feeling that the markets will hold up for a while? Because "people [will be] expropriated without really noticing it right away, but one day they notice… then to divert the attention from the public the governments then go to war…"  Worth watching the video.  – Ilene

Bullish Today, Marc Faber Is "Highly Confident" the Future Will Be Very Bleak

By Aaron Task at Tech Ticker, interview with Aaron Task and Henry Blodget.

"The future will be a total disaster, with a collapse of our capitalistic system as we know it today, wars, massive government debt defaults and the impoverishment of large segments of Western society," Marc Faber writes in the September issue of The Gloom, Boom & Doom Report.

A statement like that pretty much speaks for itself, but it’s a bit more complicated than appears on first blush…

Click here to continue. >>

 


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DEEP THOUGHTS FROM RICHARD RUSSELL

Courtesy of The Pragmatic Capitalist

Never a disappointing read – Russell has never lost site of the big picture despite the rapid short-term gyrations in the market.  If you’re not a subscriber of the Dow Theory Newsletters I highly recommend it:

Niall Ferguson, MA, D.Phil., is Laurence A. Tisch Professor of History at Harvard University and William Ziegler Professor of Business Administration at Harvard Business School. He is also a Senior Research Fellow at Jesus College, Oxford University, and a Senior Fellow at the Hoover Institution, Stanford University.

chimerica I want to include a few paragraphs from a most important article by the brilliant Niall Ferguson, author of “The Ascent of Money, A Financial History of the world.” Ferguson’s article is about the coming “divorce” between the US and China. I believe the future of the world will revolve around the relationship of US and China. The Ferguson article appeared in Newsweek magazine (Aug. 21) and is entitled, “Chimerica Is Headed For Divorce.” And I quote –

“Let’s look at the numbers. China’s holding of US Treasuries rose to $801.5 billion in May, an increase of 5% from the $763.5 billion in April. Call it $40 billion a month. And let’s imagine the Chinese do that every month through this fiscal year. That would be a credit line to the US government of $480 billion. Given that the total US deficit is forecast to be about $2 trillion, that means the Chinese may finance less than a quarter of total Federal-government borrowing — whereas a few years ago they were financing virtually the whole deficit.

“The trouble is that the Chinese clearly feel they have enough US government bonds. Their great anxiety is that the Obama administration’s very lax fiscal policy, plus the Federal Reserve’s policy of quantitative easing (in laymen’s terms, printing money) are going to cause one of two things to happen: the price of US bonds could fall and/or the purchasing power of the dollar could fall. Either way, the Chinese lose. Their current strategy is to shift their purchases to the short end of the yield curve, buying Treasury bills instead of 10-year bonds. But that doesn’t address the currency risk. In a best-selling book titled Currency Wars, Chinese economist Song


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Zero Hedge

Orphaned Silver Is Finding Its Parent

Courtesy of ZeroHedge View original post here.

Authored by Alasdair Macleod via GoldMoney.com,

This article examines the prospects for silver, which has been overlooked in favour of gold. Due to the economic and monetary consequences of the coronavirus lockdowns and the earlier turning of the credit cycle, there is an increasing likelihood of a severe and sustained downturn that will require far more monetary expansion to deal with, favouring the prospects of both gold and silver returning to their former monetary roles.

...

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Phil's Favorites

COVID-19: A Data-Driven Analysis

 

COVID-19: A Data-Driven Analysis

By John Mauldin and Mike Roizen, MD 

Should you wear a mask in public? This seemingly simple question immediately generates emotional, political, and social anxiety.

It is just one of many provocative questions COVID-19 is forcing upon us. They should be simple, data-driven policy issues but many are not.

Today’s letter is in a different format from the usual Thoughts from the Frontline. As long-time readers know, I am in frequent (and lately almost daily) contact with Dr. Mike Roizen, emeritus head of wellness at the famous Cleveland Clinic, member of the Cleveland Clinic’s leadership team, and author of many books which, thanks ...



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Biotech/COVID-19

COVID-19: A Data-Driven Analysis

 

COVID-19: A Data-Driven Analysis

By John Mauldin and Mike Roizen, MD 

Should you wear a mask in public? This seemingly simple question immediately generates emotional, political, and social anxiety.

It is just one of many provocative questions COVID-19 is forcing upon us. They should be simple, data-driven policy issues but many are not.

Today’s letter is in a different format from the usual Thoughts from the Frontline. As long-time readers know, I am in frequent (and lately almost daily) contact with Dr. Mike Roizen, emeritus head of wellness at the famous Cleveland Clinic, member of the Cleveland Clinic’s leadership team, and author of many books which, thanks ...



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The Technical Traders

WOW, look at this huge setup unfolding in S&P 500. Squeeze the FOMO !!

Courtesy of Technical Traders

If you have FOMO on the stock market you better watch this video because it will make you feel better if what is unfolding is exactly what I have been talking about for the past week. The Short/FOMO Squeeze!

I offer membership services for active traders, long-term investors...



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ValueWalk

Warning Signs: Too Big To Fail Stocks In 2020!

By Sven Carlin. Originally published at ValueWalk.

In 2008 banks were too big to fail! In 2020, stocks might be too big too fail! We discuss the financialization of the economy, how household wealth is impacted by financial engineering and low interest rates force people to invest. This all leads to stocks being hot and discussed by many, cheap brokers like Robinhood add to the party. Usually, it would be a huge warning sign for the stock market, but today it might be indicating that stocks are too big to fail.

Q1 2020 hedge fund letters, conferences and more

With stocks being $28 trillion of american wealth, or 23%, it is hard to imagine the FED letting ...



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Kimble Charting Solutions

Is the 39 Year Treasury Bond Bull Market Over?

Courtesy of Chris Kimble

10 Year US Treasury Bond Yield “inverted” Chart

This chart should look familiar, as I’ve shared and updated it a few times to alert clients and readers.

It is the 10 Year US Treasury Yield Chart… inverted.

As you know, bond yields and price move in opposite directions. So this is a way to analyze and think about bonds. And as I’ve pointed out before, inverted charts can also reduce bias.

As you can see, bond yields created the largest reversal pattern in decades. When inverted (as this chart is), yields look like bond prices. So this is action is very bearish for bond prices on a long-term historic...



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Chart School

Silver volume says something is near boiling point

Courtesy of Read the Ticker

Fundamentals are important, but they must show up in the chart. And when they do and if they may matter, it is a good sign if price and volume waves show a change of character.

The Point and Figure chart below is readtheticker.com version of PnF chart format, it is designed to highlight price and volume waves clearly (notice the Volume Hills chart).

Silver ETF volume is screaming at us! The price volatility along with volume tells us those who have not cared, are starting to, those who are wrong are adjusting, and those who are correct are loading up. Soon the kettle will blow and the price of silver will be over $20. 

Normally silver suffers in a recession, maybe this time with trillions of paper money being creat...

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Lee's Free Thinking

US Southern States COVID19 Cases - Let's Give Credit Where Due

 

US Southern States COVID19 Cases – Let’s Give Credit Where Due

Courtesy of  

The number of new COVID 19 cases has been falling in the Northeast, but the South is not having the same experience. The number of new cases per day in each Southern state has been rangebound for the past month.

And that’s assuming that the numbers haven’t been manipulated. We know that in Georgia’s case at least, they have been. And there are suspicions about Florida as well, as the State now engages in a smear campaign against the fired employee who built its much praised COVID19 database and dashboar...



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Digital Currencies

Blockchains can trace foods from farm to plate, but the industry is still behind the curve

 

Blockchains can trace foods from farm to plate, but the industry is still behind the curve

App-etising? LDprod

Courtesy of Michael Rogerson, University of Bath and Glenn Parry, University of Surrey

Food supply chains were vulnerable long before the coronavirus pandemic. Recent scandals have ranged from modern slavery ...



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Members' Corner

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

 

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

No matter the details of the plot, conspiracy theories follow common patterns of thought. Ranta Images/iStock/Getty Images Plus

Courtesy of John Cook, George Mason University; Sander van der Linden, University of Cambridge; Stephan Lewandowsky...



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Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

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Promotions

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Feb. 26, 1pm EST

Click HERE to join the PSW weekly webinar at 1 pm EST.

Phil will discuss positions, COVID-19, market volatility -- the selloff -- and more! 

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Mike will show off the TradeExchange's new platform which you can try for free.  

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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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About Ilene:

Ilene is editor and affiliate program coordinator for PSW. Contact Ilene to learn about our affiliate and content sharing programs.