The only reason that the market has gone up is because the Fed has been more aggressive than anybody believed. The Fed has printed more money than anybody thought possible. The monetary and fiscal stimulus is so huge that it trumped everything else. And that’s it. That’s the only reaso...
The money you do have doesn’t buy anything. The Fed is staring right at it.” Titus contends the Fed has printed more money than ever before and at a much faster pace than ever before. Titus warns, “The confetti party has a way of ending rather rudely and abruptly.” What should ...
In a recent written interview with Xinhua, Dalio said the stimulus has prompted the U.S. Money Supply M2 to rise by 40 percent in the two years following February 2020, with the Federal Reserve Banks' total asset more than doubling. Excess in money supply is viewed as one of the causes ...
As the chart above shows bank deposits grew at a rapid pace in 2020 as central banks printed money at full speed and government programs handed it out to anyone that would take it. It was not only bank deposits that grew, but equity valuations were also inflated....
…by buying them with newly printed money! The US Fed took note and took its foot off the financial brake pedal. Stocks and bonds figured this out quickly and bottomed immediately. (As always, nobody realized it at the time—mainstream pundits continued to call for more pain!) ...
The supply shocks have only exacerbated the flow of printed money into consumer prices rather than into real estate or financial asset bubbles. However, without an excess of money supply relative to output, no supply shock could have led to a general increase in the price level. Indeed, graph...
BTW, I will be in the Jackson Hole area when the annual Fed conference takes place. Needless to say, I wasn’t invited. Should I do a sort ofMasque of the Red Deathgate crashing? Dress up like a ghoul with the word “deflation” printed all over my costume? (Note to the Secret Se...
“Anything more than that and you’re putting a drag on your future net worth,” he said. The Christmas tradition has become nearly global in scope: Children from around the worldtrack Santa Claus as he sweeps across the earth, delivering presents and defying time. ...
If the Fed raises the FFR to 4.6%, interest costs would hit $1.028 trillion — more than 2021’s entire military budget of $801 billion! Both political parties have been spending money like a drunken sailor on a Saturday night in Prince Rupert, and must keep doing so, to get re-...
In 2023, FED gave this message to the markets: “We are ready to print money any time. Hold all your assets, buy even more.” No one else to blame. They printed ~5T in two years, paused for 6 months, then drained about ~1.5T in 1.5 years. ~1T QT/year. Too slow. And even...