davidstockmanscontracorner.com / by Bloomberg Business • February 12, 2016
It seemed like a good idea at the time: Cut interest rates below zero to revive growth.
But as policy makers from Tokyo to Stockholm embrace the notion, investors are close to panic mode. Far from buoying financial markets this year, negative rates have […]
marctomarket.com / by Marc Chandler / February 12, 2016
In response to the global crisis, central banks have adopted unorthodox policies. They expanded their balance sheets and broken the zero bound of interest rates. Many investors have been critical of the central bank action on principle, but what has changed recently is that market developments […]
zerohedge.com / by Tyler Durden on 02/12/2016 11:30
2016 is shaping up to be the year that everyone finally comes to terms with the fact that the monetary emperors truly have no clothes.
To be sure, it’s been a long time coming. For nearly 8 years, market participants and economists convinced themselves […]
news.goldseek.com / By: Arkadiusz Sieron / 12 February 2016
One of the main arguments for the systematic suppression of the gold price says that governments and central banks try to stop gold being the canary in the inflationary mine. We have problems with this view.
First, there are many other indicators of inflation, like official […]
zerohedge.com / by Tyler Durden / 02/12/2016 07:48
Having been at the forefront of the recent collapse in core European bank stock prices, Deutsche Bank has – as we first reported last weekend – been ‘crying uncle’ but not in a way most would expect: instead of begging for more central bank easing, DB […]
charleshughsmith.blogspot.com / CHARLES HUGH SMITH / THURSDAY, FEBRUARY 11, 2016
What NIRP communicates is: this sucker’s going down, so sell everything and hoard your cash and precious metals.
The last hurrah of central banks is the negative interest rate policy–NIRP. The basic idea of NIRP is to punish savers so severely that households and […]
gainspainscapital.com / Graham Summers / February 11, 2016
The global Central Banks have declared War on Cash.
Historically, one of the safest things to do when the markets begin to collapse is to move a significant portion of your holdings to cash. As the old adage says, during times of deflation, “cash is […]
zerohedge.com / by Tyler Durden on 02/11/2016 16:49
It’s a day ending in -day, which means it is time for another Jeff Gundlach fire sermon, as transcribed by Reuters. And while in his most recent address to the mortals the new bond king from DoubleLine focused on tremors in the bond market, predicting […]
zerohedge.com / by Tyler Durden on 02/11/2016 10:46
While Citigroup’s Eric Lee thinks its “ridiculous” to talk fo a US recession, it appears the macro data and markets would strongly disagree: as Bloomberg reports:
Signals by central banks from Europe to Japan that additional stimulus is at the ready are failing to ease investor […]
mauldineconomics.com / BY JARED DILLIAN / FEBRUARY 11, 2016
The title, of course, is a reference to the Ford administration’s Whip Inflation Now campaign (with buttons).
Central banks have been trying to Whip Deflation Now, but WDN is not as good an acronym.
Japan went to negative rates, so there is lots of talk about […]
gata.org / By Susan Fenton / Thursday, February 11, 2015
LONDON — Buying by central banks as well as Chinese investors seeking protection from a weakening currency helped lift demand for gold in the final quarter of last year and the trend looks set to continue, the World Gold Council said today.
China remained […]
gainspainscapital.com / Graham Summers / February 10, 2016
The Central Banks are getting desperate. The interventions are so obvious now you’d have to be on drugs not so notice them.
On Monday afternoon, at 3PM “someone” stepped in to prop up stocks. They did it again yesterday at 10AM. These were obvious interventions.
gainspainscapital.com / Graham Summers / February 9, 2016
For six years, the world has operated under a complete delusion that Central Banks somehow fixed the 2008 Crisis.
All of the arguments claiming this defied common sense. A 5th grader would tell you that you cannot solve a debt problem by issuing more debt. Similarly, […]
gata.org / By Alexandra Scaggs / Monday, February 8, 2016
Global central banks have opened the door to negative U.S. interest rates, in Wall Street’s view.
After the Bank of Japan cut some rates below zero last month to spur growth and inflation, strategists are weighing the Federal Reserve’s options in case of a […]
davidstockmanscontracorner.com / By Anjani Trivedi at The Wall Street Journal / February 8, 2016
HONG KONG—Central banks in some emerging markets are stepping up efforts to flood their financial systems with cash, highlighting the pressure that they face from rapid capital flight.
The moves amount to a collective turnabout from months of interest-rate cuts in […]
marctomarket.com / by Marc Chandler / February 8, 2016
In many ways, the world has turned upside down. It is not just central banks that have set policy rates below zero, but the entire German curve out through eight years have negative yields. Japan, which has the largest debt burden relative to GDP, has negative […]
zerohedge.com / by Tyler Durden / 02/08/2016 10:33
Ever since early 2015, we have repeated that with the world caught in a negative rate “race to the bottom”, which even S&P now admits, it is inevitable that the US will join the rest of the DM central banks, especially after the flawed and much […]
zerohedge.com / by Tyler Durden / 02/08/2016 08:33 -0500
Just over two weeks ago, JPM’s Marko Kolanovic, whose unprecedented ability to predict short-term market moves is starting to seem a little bizarre, warned that the next “significant risk for the S&P500” was the bursting of the “macro momentum bubble.” Specifically, he said that there […]
wallstreetexaminer.com / by Harry Dent via Economy and Markets / February 5, 2016
Since late 2008, central banks around the world have used unprecedented QE to try and stoke the global economy.
Then in June 2014, the ECB took it a step further. They went negative.
Zero short-term interest rates apparently weren’t enough. The ECB […]
gainspainscapital.com / Graham Summers / February 4, 2016
It would be a lot easier to be bullish today if the entire financial system wasn’t based on fraud and BS.
Every explanation we see regarding the bull market in stocks is really just a cover for the fact that Central Banks spent $14 trillion […]
gainspainscapital.com / Graham Summers / February 3, 2016
For over six years, the markets have been moving based on Central Banker actions and words.
The first phase (2009 to 2013) was dominated by action (ZIRP and QE).
The second phase (2013 to the present) was increasingly reliant on words (verbal intervention) as most […]
zerohedge.com / by Tyler Durden / 02/03/2016 08:01
Yesterday we reported that following a spike in calls by the sellside to “sell the rally”, hedge funds did just that and according to BofA client data, hedge funds dumped the most shares in the past week in two years. Today, JPM’s Adam Crisafulli repeats the firm’s […]
charleshughsmith.blogspot.com / CHARLES HUGH SMITH / TUESDAY, FEBRUARY 02, 2016
What the central banks cannot do is create productive places to invest the credit they’ve generated in such excess, or force qualified borrowers to swallow more unproductive debt. One way to lose a war is to focus on preparing to fight the last war. […]