Subject: The Liquidity Tsunami Is About To End Abruptly
The Liquidity Tsunami Is About To End Abruptly
September 25th, 2021 at 2:22 pm +07The Liquidity Tsunami Is About To End AbruptlyOn March 6th this year, Macro Watch published a video called “Liquidity Tsunami May Drive Asset Prices Much Higher”. It argued that during the months ahead Bank Reserves would surge, and that the rela ...
Slowing Inflation Won't Stop Fed Taper
September 18th, 2021 at 1:33 pm +07Slowing Inflation Won't Stop Fed TaperingInflation in the United States slowed sharply during August. The Core Consumer Price Index (Core CPI) rose 0.1% month-on-month in August. That was down from 0.9% in April, 0.7% in May, 0.9% in June, and 0.3% i ...
The Fed Has A Big Problem
September 4th, 2021 at 5:14 pm +07The Fed Has A Big ProblemOn Friday, the jobs report showed that only 235,000 new jobs were created in the United States during August. That was well below expectations of 728,000 new jobs. Up until then, the Fed appeared inclined to begin Tapering Qu ...
Interview: Inflation or Deflation?
August 27th, 2021 at 4:40 pm +07Interview: Inflation or Deflation?Cris Sheridan recently interviewed me for the Financial Sense Newshour. It was another good conversation. I hope you will listen to it now. We discussed: Fed tapering of Quantitative Easing is on the horizon. Wha ...
The Fed Is More Profitable Than Apple
August 20th, 2021 at 1:25 pm +07The Fed Is More Profitable Than AppleThe Fed is enormously profitable. In fact, if it were a corporation, the Fed would have been the most profitable corporation in the world last year. Luckily for American taxpayers, the Fed must hand over all its p ...
Liquidity Tsunami Update
August 5th, 2021 at 1:30 pm +07Liquidity Tsunami UpdateBank Reserves topped $4 trillion for the first time last week. That is important because Bank Reserves are one measure of Liquidity in the Financial Markets. And Liquidity has become the most important factor influencing which ...
The Investor's Podcast Interview: 2021
August 1st, 2021 at 2:31 pm +07The Investor's Podcast Interview: 2021The Implications of Peak Inflation I was recently interviewed by Trey Lockerbie for The Investor’s Podcast. This was an excellent conversation that covers not only the topics that investors are most concerned ...
Lessons From Comparing The Four Largest Central Banks
July 23rd, 2021 at 11:45 am +07Lessons From Comparing The Four Largest Central Banks There is a great deal of concern in the United States regarding the large amount of money the Fed is creating through Quantitative Easing, currently $120 billion per month. Some fear this will res ...
Credit, Economic Growth and Inflation To Slow
July 9th, 2021 at 12:05 pm +07Credit, Economic Growth and Inflation To SlowCredit growth in the United States has peaked. Since Credit Growth drives Economic Growth, that means economic growth has also peaked. This strongly suggests that Inflation will soon begin to slow. This ex ...
Peak Growth = Peak Inflation?
June 24th, 2021 at 1:22 pm +07Peak Growth = Peak Inflation?The message from the Fed’s June 16th FOMC meeting was slightly more hawkish than the market had expected. It indicated that the first rate hike may come at the end of 2023 instead of in 2024, as previously suggested. T ...