Doug Casey: Go Short Interest Rates
People who short interest rates – in other words, people who bet they are going much higher in the coming years – are going to make a fortune. I think interest rates will go back to the levels we saw…
People who short interest rates – in other words, people who bet they are going much higher in the coming years – are going to make a fortune. I think interest rates will go back to the levels we saw…
In his column from Monday, “Stay The Course”, Paul Krugman dismissed the idea that current government policies are potentially inflationary as follows: What about the claim that the Fed is risking inflation? It isn’t. Mr. Laffer seems panicked by a…
By contrast, we’ve largely forgotten our most recent brush with raging peacetime inflation, the 1970s. Although nothing like Germany’s in the 1920s, ours was nonetheless powerful enough to be more dispiriting and more transformative of our culture than any stretch…
There is a marked difference between taking our medicine as a function of time and price and injecting the system with drugs with hopes that the symptoms will pass. The latter continues to be the diagnosis of choice but the…
If you look at the consumer price index, you would think that the cost of living is very low. Unfortunately, that is not the case. The cost of living for the average person is going up. – Sung Won Sohn, professor…
Inflation expectations might also shift if the markets lose confidence in the state of the public finances. Washington is set to produce a deficit this year of $1,800bn (£1,237bn, €1,325bn). The cost of bailing out Wall Street runs to several…
The dollar continues to tank and commodities continue to rally in the wake of yesteday’s Fed announcement: The euro is up another 2 cents versus the dollar to $1.37 – after rallying 4 cents yesterday after the Fed announcement. Oil…
Less than a month after announcing across the board price increases to combat rising energy and raw materials costs (May 28 Press Release), Dow Chemical (DOW) is at it again announcing additional across the board price increases of as much…
Moreover, the latest round of increases in energy prices has added to the upside risks to inflation and inflation expectations. The Federal Open Market Committee will strongly resist an erosion of longer-term inflation expectations, as an unanchoring of those expectations…
[Chairman Bernanke] went today where no other Fed chairman has gone in my 20 years of doing this. He dove into the deep end of the dollar policy pool. – David Gilmore (subscription required), Foreign Exchange Analytics As we’ve discussed before,…