The solution to the 2008 crisis was massive bailouts, monetary stimulus via quantitative easing, and a re-defining of bad mortgage loan debt derivatives that the banks were liable for on their balance sheets. There were no consequences for the banks' mismanagement and unconscionable actions in scamming the public and other institutions with crappy financial products that will never pay out.
Fast forward to today. Low interest rates and $trillions in QE later - the economy is still dependent upon free money and the Fed is allegedly going to cut back on the free money. Please note what happened to the stock market the last time that the Fed tried to cut back on free money (see "taper tantrum").
A deflationary crash is quite possible if the Fed actually does cut back on free money. Aside from repatriation of petrodollars resulting from Russia's & China's move towards a regional currency regime, any downturn in stock prices might precipitate a selling trend.
None of this considers the bond market, which is a Ponzi unto itself, based on future expectations of payment promises that can't be met without a) more massive money creation and b) fairly hefty tax increases (which are bound to be UN-popular across the board, except for the 51% that would like to see everyone else carry their water for them as long as they can get away with the free stuff to which they've become so accustomed).
The only real question I see is whether the Fed & gov.com can pull off another debt increase by ANOTHER order of magnitude without blowing up the whole "system".
Q: Are You Printing Money? Bernanke: Not Literally
Shiller has been running scared for years..note date.
The internet and housing bubbles were clearly evident and extreme. In 2000 companies were trading at 100x revenue and big multinational companies trading at 100x earnings. In 2006 garages in NJ were being converted into studios and selling for 300k. Average price per Sq ft in FL was over 200. Mortgages were given to folks at 10x their income. Foreign equity markets were up 5-10x.
The current markets look nothing like previous bubbles...IE, gold in 2011.
Please note what happened to the stock market the last time that the Fed tried to cut back on free money (see "taper tantrum").
I assume you are talking about 2013...I'll note the SP500 was up 14% a year later and 30% for the full year of 2013.
I see zero evidence of the market being reliant on low rates. In fact, I see market participants demanding higher rates.
Russia's & China's move towards a regional currency regime
Russia will never have a currency accepted by the world, save for nafarious regimes such as Iran and North Korea. This is a complete non-issue that should be wiped clear of your thoughts. And China...let them bear the burden of a reserve currency in Asia. I fully support it.
None of this considers the bond market, which is a Ponzi unto itself, based on future expectations of payment promises that can't be met without a) more massive money creation and b) fairly hefty tax increases (which are bound to be UN-popular across the board
Not a Ponzi scheme, but thats irrelevant. There will be higher taxes and money creation....count on it. And there are lots of ways to benefit.
The only real question I see is whether the Fed & gov.com can pull off another debt increase by ANOTHER order of magnitude
Interesting article @derryb . I thought silver was dead when it came to solar panels but I guess it is a slow death. Palladium is on fire. What's that used for other than catalytic converters?
"The current EU plan envisages blocking account disbursements for five working days and with the authority to extend any suspension to up to 20 days. They may need longer!"
Quick way to eliminate a potential drain on the bottom line.
"Some 12% of PayPal's outstanding balances are owed by subprime borrowers who have credit scores below 599 on a scale that tops out at 850, according to the company."
"Bongo drive 1984 Lincoln that looks like old coin dug from ground."
@OPA said:
Quick way to eliminate a potential drain on the bottom line.
"Some 12% of PayPal's outstanding balances are owed by subprime borrowers who have credit scores below 599 on a scale that tops out at 850, according to the company."
Paypal credit's "Buy Now Pay Later" scheme has been around forever. When you "pay later" the demand is for a cash form of payment that some buyers will struggle to accomplish. If it's only a 12% write-off then Paypal will be fortunate.
Wow...only 92% of Americans have gainful employment. Such a travesty.
Remember in grade school when in gym class everyone stood in a line and 2 captains would pick players to be on the team. You remember being one of the last 3 picked, right derryb? Lol Anyway, those last 3 were marginal players, perhaps even detrimental to the team. The team would have played better without those last 3. This is the same as today's economy. Go visit those 8 of out 100 who feel they can't find gainful employment. I think you discover real quick why they cant.
Your assumption that an 8% unemployment rate means 92% are fully employed shows your ignorance on BLS data and how it is calculated. Spend more time in research and less time trolling.
@derryb said:
Your assumption that an 8% unemployment rate means 92% are fully employed shows your ignorance on BLS data and how it is calculated. Spend more time in research and less time trolling.
I prefer casting over trolling. A nice long drift with a center pin being my preferred angleing method though.
As far as economics. ....keep trying derryb. Keep trying.
Only half the country is working and the other half feeding off. Heating up the economy and getting folks off the dole will go far in my opinion. Next time won’t be so easy to get back on either. Not sure if the Silver will change much wondering if mining costs or reduction in new mining will equal out the surplus. Has China reversed the Subsidies. Will other subsidies or solar demand help. Was wondering these thing last week doing the back of napkin calculations. I’m still ok with prices as they are today.
@Kkathyl said:
Only half the country is working and the other half feeding off. Heating up the economy and getting folks off the dole will go far in my opinion..........
Half the country that IS working are either part-time and/or low-income and pay little/no income taxes. There are roughly 75 million Americans that are NOT low income: Put another way 75 million/325 million leaves us with 77% of all Americans are NOT paying (essentially zero in budgetary terms) income taxes.
These figures are well documented in the literature. The good things is the top 5% of all earners (who pay almost all individual Federal tax revenue) have very high incomes ($250k+/year). They pay the rent.
@VanHalen it’s scary to think that those not paying taxes believe that they are due benifits and more and more. The Elite sold us out for Political power along time ago. Term limits and draining the swamp in order. We are on borrowed time.
In the words of one of our great Founding Fathers Benjamin Franklin, "When the people find that they can vote themselves money that will herald the end of the republic."
Our $8 trillion/year government spending (Federal, state, local) is on the launching pad set to go parabolic when the 50 million Baby Boomers who are still working retire over the next 15 years. We have a couple decades to $100 trillion in reported Federal debt alone.
All I seem to catch are beat up, old, toothless, mushy-meat carp. Lol
If you really want to discuss in a logical, rational and intelligent manner then let's go. But if you prefer to speak through opinion formed of misinformation and contempt then be prepared to be called out. If you can't take it, then too bad. Stop acting like the snowflakes you so despise.
Take a break. Travel this country and see the vibrancy and shear awesomeness of the great land. But stay away from CT and RI, seems pretty depressing there. Lol
More research, less trolling. Your attempts to discredit the messenger and not the message indicate a need for a better understanding of the message. Call me out all you wish, you've been doing it for years while the message remains unchanged and very clear to those with their eyes and ears open. I suspect your ego blinds your ability to be rational.
In all fairness to our fellow members who are here to discuss precious metals, let's you and I keep our contempt of each other to ourselves. It remains clear that I have my reasons for buying precious metals and equally clear that you see no reason to. Time will prove who is correct. Let's leave it at that and focus future discussion on the topic, not each other.
Well, then prove what I write as incorrect, false, or biased. This is done by presenting an argument supported by facts that can be corroborated via many sources.
The problem we have is that I tend to believe stats prepared by independent economists, banking institutions, govt statisticians and, most importantly, my own extensive "boots on the ground" experiences and personal relationships among folks in myriad professions. While you tend to believe Russian backed news outlets, bullion peddlers, and for-fee newsletter writers whos agenda is to instill fear, loathing, contempt, anger, and manipulation and conspiracy theories.
Yeah, I'm call out that crap, so be prepared to defend it.
"Russian backed news outlets?" What are you, a politician?
I have no need to defend anything except your personal attacks. I present differing opinion whether I agree or not. A narrow mind results in tunnel vision, even with the rose colored glasses.
Nope, I'm not a politician...they tell lies, twist the truth, deal in misinformation and usually have an agenda to push. Are you a politician?
Why would you present an opinion you do not agree with, especially if you don't say you disagree with it. If you cannot defend or support a position, then why even present it? Opinion without conviction is sh--.
Why would you present an opinion you do not agree with, especially if you don't say you disagree with it. If you cannot defend or support a position, then why even present it? Opinion without conviction is sh--.
because my fellow forumites are entitled the opportunity to evaluate the opinion of others for themselves. One censor on the forum is enough.
In 2000, an average mortgage rate was 8%, so 100k mortgage would have costo $734/ month. Today, one would have to borrow $143k to have the same monthly payment. So an increase in debt does not require increased income. However, since wages are higher today than in 2000, that same monthly payment can be made much easier.
So you can believe that chart posted above, which I've proven, or you can continue to wear your sh-- glasses.
Household Debt Service Payments as a Percent of Disposable Personal Income
Decades, yes decades low. Ignore the doomsayers with their sh-- colored glassed
You choose to paint a rosier (pun intended) picture by comparing consumer debt to disposable income. Not the same as comparing debt to wages. Fact remains US Household Debt Is Rising 60% Faster Than Wages, proven using Quarterly Report on Household Debt and Credit from the FED. Changing topic to debt's percent of disposable income does not alter the fact that debt is rising faster than income. Just another example of your "look over here" in hopes we don't see what's in front of us.
Debt is the ultimate ponzi scheme. We all know how it will eventually end. The FED in their multiple attempts to extend its life, since debt went on life support in 2008, is making its ultimate carnage only worse.
Please prove to me that debt servicing payments are at highs. I've shown you that folks have an easier time managing their debt than in the last 30 years. I waiting to be proven wrong.
All I hear is hyperbole..."life support", "ultimate carnage". Please show me how people can't afford this debt. And by people I don't mean your brothers cousins uncle can't pay his bills.
Yes, eventually there will be too much debt....how many centuries you got to wait?
No doubt overall disposable income is at all time highs making "Household Debt Service Payments as a Percent of Disposable Personal Income" look good. The problem is 2/3 of the country has almost none of the disposable income while the top 1/3 has almost all of it.
Averages are back backers. With so much of the income concentrated at the top the "Percent of Disposable Personal Income" stats are deceptive to say the least.
Our current economy is much like the guy with man who had one foot in a bucket of boiling hot water and another foot in a bucket of ice cold water. The man said, 'on average, I feel pretty good"!
@cohodk said:
Jobless claims at 40 year lows....and this on a population base twice as great. Wow!!!
This would be the number of new unemployment benefit claims and does not include those already receiving the benefit. What this means is that the number of new claims has slowed. Unemployment benefit claims data is skewed by the fact that is does not consider those whose benefits expired or those who are otherwise not eligible for the benefit (i.e. self employed). And then there's all those part-time workers who can't find full time work - but are considered fully "employed" by the government bean counters.
But hey, everything is wonderful. Almost as great as it was in 2007.
Best time to grab a chair is before the music stops.
Comments
Please expound.
The solution to the 2008 crisis was massive bailouts, monetary stimulus via quantitative easing, and a re-defining of bad mortgage loan debt derivatives that the banks were liable for on their balance sheets. There were no consequences for the banks' mismanagement and unconscionable actions in scamming the public and other institutions with crappy financial products that will never pay out.
Fast forward to today. Low interest rates and $trillions in QE later - the economy is still dependent upon free money and the Fed is allegedly going to cut back on the free money. Please note what happened to the stock market the last time that the Fed tried to cut back on free money (see "taper tantrum").
A deflationary crash is quite possible if the Fed actually does cut back on free money. Aside from repatriation of petrodollars resulting from Russia's & China's move towards a regional currency regime, any downturn in stock prices might precipitate a selling trend.
None of this considers the bond market, which is a Ponzi unto itself, based on future expectations of payment promises that can't be met without a) more massive money creation and b) fairly hefty tax increases (which are bound to be UN-popular across the board, except for the 51% that would like to see everyone else carry their water for them as long as they can get away with the free stuff to which they've become so accustomed).
The only real question I see is whether the Fed & gov.com can pull off another debt increase by ANOTHER order of magnitude without blowing up the whole "system".
I knew it would happen.
QT1 will result in QE4
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
http://www.icis.com/blogs/chemicals-and-the-economy/2014/09/shillers-warning-suggests-sp-500s-bubble-is-coming-to-an-end/
Shiller has been running scared for years..note date.
The internet and housing bubbles were clearly evident and extreme. In 2000 companies were trading at 100x revenue and big multinational companies trading at 100x earnings. In 2006 garages in NJ were being converted into studios and selling for 300k. Average price per Sq ft in FL was over 200. Mortgages were given to folks at 10x their income. Foreign equity markets were up 5-10x.
The current markets look nothing like previous bubbles...IE, gold in 2011.
Knowledge is the enemy of fear
Please note what happened to the stock market the last time that the Fed tried to cut back on free money (see "taper tantrum").
I assume you are talking about 2013...I'll note the SP500 was up 14% a year later and 30% for the full year of 2013.
I see zero evidence of the market being reliant on low rates. In fact, I see market participants demanding higher rates.
Russia's & China's move towards a regional currency regime
Russia will never have a currency accepted by the world, save for nafarious regimes such as Iran and North Korea. This is a complete non-issue that should be wiped clear of your thoughts. And China...let them bear the burden of a reserve currency in Asia. I fully support it.
None of this considers the bond market, which is a Ponzi unto itself, based on future expectations of payment promises that can't be met without a) more massive money creation and b) fairly hefty tax increases (which are bound to be UN-popular across the board
Not a Ponzi scheme, but thats irrelevant. There will be higher taxes and money creation....count on it. And there are lots of ways to benefit.
The only real question I see is whether the Fed & gov.com can pull off another debt increase by ANOTHER order of magnitude
Why would they need to?
Knowledge is the enemy of fear
Silver’s bullish underpinning — it’s an essential metal for these 3 growth industries
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Interesting article @derryb . I thought silver was dead when it came to solar panels but I guess it is a slow death. Palladium is on fire. What's that used for other than catalytic converters?
A: New coins that look like big Mercury dimes on the front and a hungry eagle from the WLH on the back.
Liberty: Parent of Science & Industry
That's how they get more than spot per ounce in the market, make it pretty.
Then folks add some plastic and paper and the number 70 and some more typed words and letters and numbers and then sell them for EVEN MORE!
Liberty: Parent of Science & Industry
EU Preparing for the Banking Crisis
"The current EU plan envisages blocking account disbursements for five working days and with the authority to extend any suspension to up to 20 days. They may need longer!"
Bloomberg's take
Fractional banking at its finest. With 90% of bank deposits loaned back out this tool is a necessity to protect the banks from their own greed.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
PayPal to sell $6 billion of loans
"The transaction will allow PayPal to continue arranging loans for its customers. . ."
Well, at least PP won't need a bailout. . . for now.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Quick way to eliminate a potential drain on the bottom line.
"Some 12% of PayPal's outstanding balances are owed by subprime borrowers who have credit scores below 599 on a scale that tops out at 850, according to the company."
Paypal credit's "Buy Now Pay Later" scheme has been around forever. When you "pay later" the demand is for a cash form of payment that some buyers will struggle to accomplish. If it's only a 12% write-off then Paypal will be fortunate.
http://thehill.com/homenews/state-watch/360916-unemployment-rate-hit-record-low-in-13-states-this-year
Record low.....is the economy TOO GOOD?
Knowledge is the enemy of fear
According to the Bureau of Labor Statistics (BLS)?
Don't let the foxes count your chickens - you're sure to end up missing a few.
What is the real unemployment rate?
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
I bet that rate is at an all time low in many states also.
Take off those sh-- colored sunglasses.
Knowledge is the enemy of fear
Wow...only 92% of Americans have gainful employment. Such a travesty.
Remember in grade school when in gym class everyone stood in a line and 2 captains would pick players to be on the team. You remember being one of the last 3 picked, right derryb? Lol Anyway, those last 3 were marginal players, perhaps even detrimental to the team. The team would have played better without those last 3. This is the same as today's economy. Go visit those 8 of out 100 who feel they can't find gainful employment. I think you discover real quick why they cant.
Knowledge is the enemy of fear
Your assumption that an 8% unemployment rate means 92% are fully employed shows your ignorance on BLS data and how it is calculated. Spend more time in research and less time trolling.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
how-much-debt-the-average-us-household-owes
I prefer casting over trolling. A nice long drift with a center pin being my preferred angleing method though.
As far as economics. ....keep trying derryb. Keep trying.
Knowledge is the enemy of fear
more research, less trolling.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Only half the country is working and the other half feeding off. Heating up the economy and getting folks off the dole will go far in my opinion. Next time won’t be so easy to get back on either. Not sure if the Silver will change much wondering if mining costs or reduction in new mining will equal out the surplus. Has China reversed the Subsidies. Will other subsidies or solar demand help. Was wondering these thing last week doing the back of napkin calculations. I’m still ok with prices as they are today.
Best place to buy !
Bronze Associate member
Half the country that IS working are either part-time and/or low-income and pay little/no income taxes. There are roughly 75 million Americans that are NOT low income: Put another way 75 million/325 million leaves us with 77% of all Americans are NOT paying (essentially zero in budgetary terms) income taxes.
These figures are well documented in the literature. The good things is the top 5% of all earners (who pay almost all individual Federal tax revenue) have very high incomes ($250k+/year). They pay the rent.
@VanHalen it’s scary to think that those not paying taxes believe that they are due benifits and more and more. The Elite sold us out for Political power along time ago. Term limits and draining the swamp in order. We are on borrowed time.
Best place to buy !
Bronze Associate member
In the words of one of our great Founding Fathers Benjamin Franklin, "When the people find that they can vote themselves money that will herald the end of the republic."
goodreads.com/quotes
Our $8 trillion/year government spending (Federal, state, local) is on the launching pad set to go parabolic when the 50 million Baby Boomers who are still working retire over the next 15 years. We have a couple decades to $100 trillion in reported Federal debt alone.
All I seem to catch are beat up, old, toothless, mushy-meat carp. Lol
If you really want to discuss in a logical, rational and intelligent manner then let's go. But if you prefer to speak through opinion formed of misinformation and contempt then be prepared to be called out. If you can't take it, then too bad. Stop acting like the snowflakes you so despise.
Take a break. Travel this country and see the vibrancy and shear awesomeness of the great land. But stay away from CT and RI, seems pretty depressing there. Lol
Knowledge is the enemy of fear
More research, less trolling. Your attempts to discredit the messenger and not the message indicate a need for a better understanding of the message. Call me out all you wish, you've been doing it for years while the message remains unchanged and very clear to those with their eyes and ears open. I suspect your ego blinds your ability to be rational.
In all fairness to our fellow members who are here to discuss precious metals, let's you and I keep our contempt of each other to ourselves. It remains clear that I have my reasons for buying precious metals and equally clear that you see no reason to. Time will prove who is correct. Let's leave it at that and focus future discussion on the topic, not each other.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
I don't need to discredit you, you do a fine job yourself.
So I cant discuss the (mis)information you post? What kind of forum is that? You dictate the discussions, and say I have an ego?
I don't have any contempt for you. None.
Post accurate, unslanted, unbiased, non-emotional news/information in this forum and we will all benefit.
Knowledge is the enemy of fear
Unfortunately, as shown above, you are not capable of simply discussing the information.
Who determines accuracy, slant, bias and emotion - you? I suspect our readership is capable of doing this on their own.
Maybe we need a thread "Gold and Silver Economic News Approved by Cohodk." Otherwise, don't be such a bully. It discredits you.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Well, then prove what I write as incorrect, false, or biased. This is done by presenting an argument supported by facts that can be corroborated via many sources.
The problem we have is that I tend to believe stats prepared by independent economists, banking institutions, govt statisticians and, most importantly, my own extensive "boots on the ground" experiences and personal relationships among folks in myriad professions. While you tend to believe Russian backed news outlets, bullion peddlers, and for-fee newsletter writers whos agenda is to instill fear, loathing, contempt, anger, and manipulation and conspiracy theories.
Yeah, I'm call out that crap, so be prepared to defend it.
Knowledge is the enemy of fear
"Russian backed news outlets?" What are you, a politician?
I have no need to defend anything except your personal attacks. I present differing opinion whether I agree or not. A narrow mind results in tunnel vision, even with the rose colored glasses.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Nope, I'm not a politician...they tell lies, twist the truth, deal in misinformation and usually have an agenda to push. Are you a politician?
Why would you present an opinion you do not agree with, especially if you don't say you disagree with it. If you cannot defend or support a position, then why even present it? Opinion without conviction is sh--.
I look forward to much more spirited debate.
Knowledge is the enemy of fear
because my fellow forumites are entitled the opportunity to evaluate the opinion of others for themselves. One censor on the forum is enough.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
You guys need to get a room.
Here's a warning parable for coin collectors...
As the saying goes: "My mind is made up, don't confuse me with the facts."
That sums up the arguments made by both players.
InfoGraphic: All of the worlds money and markets
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
too late, I filed for divorce.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
At least this thread is a bit more lively. Remember the good old days?
Knowledge is the enemy of fear
Did I miss something?
Socrates: "Truth is rarely obvious. What is obvious is rarely true."
http://www.visualcapitalist.com/1000-worth-invested-americas-companies/
Knowledge is the enemy of fear
US Household Debt Is Rising 60% Faster Than Wages
But don't worry, the economy debt is booming.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
https://fred.stlouisfed.org/series/TDSP
Household Debt Service Payments as a Percent of Disposable Personal Income
Decades, yes decades low. Ignore the doomsayers with their sh-- colored glassed
Knowledge is the enemy of fear
Is this chart from the same FED that is still trying to keep the economy from blowing up, again?
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
You sure seem to post a lot of charts from this very source, so it must be trustworthy.
Knowledge is the enemy of fear
In 2000, an average mortgage rate was 8%, so 100k mortgage would have costo $734/ month. Today, one would have to borrow $143k to have the same monthly payment. So an increase in debt does not require increased income. However, since wages are higher today than in 2000, that same monthly payment can be made much easier.
So you can believe that chart posted above, which I've proven, or you can continue to wear your sh-- glasses.
Knowledge is the enemy of fear
You choose to paint a rosier (pun intended) picture by comparing consumer debt to disposable income. Not the same as comparing debt to wages. Fact remains US Household Debt Is Rising 60% Faster Than Wages, proven using Quarterly Report on Household Debt and Credit from the FED. Changing topic to debt's percent of disposable income does not alter the fact that debt is rising faster than income. Just another example of your "look over here" in hopes we don't see what's in front of us.
Debt is the ultimate ponzi scheme. We all know how it will eventually end. The FED in their multiple attempts to extend its life, since debt went on life support in 2008, is making its ultimate carnage only worse.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Please prove to me that debt servicing payments are at highs. I've shown you that folks have an easier time managing their debt than in the last 30 years. I waiting to be proven wrong.
All I hear is hyperbole..."life support", "ultimate carnage". Please show me how people can't afford this debt. And by people I don't mean your brothers cousins uncle can't pay his bills.
Yes, eventually there will be too much debt....how many centuries you got to wait?
Knowledge is the enemy of fear
No doubt overall disposable income is at all time highs making "Household Debt Service Payments as a Percent of Disposable Personal Income" look good. The problem is 2/3 of the country has almost none of the disposable income while the top 1/3 has almost all of it.
Averages are back backers. With so much of the income concentrated at the top the "Percent of Disposable Personal Income" stats are deceptive to say the least.
Our current economy is much like the guy with man who had one foot in a bucket of boiling hot water and another foot in a bucket of ice cold water. The man said, 'on average, I feel pretty good"!
Jobless claims at 40 year lows....and this on a population base twice as great. Wow!!!
Knowledge is the enemy of fear
This would be the number of new unemployment benefit claims and does not include those already receiving the benefit. What this means is that the number of new claims has slowed. Unemployment benefit claims data is skewed by the fact that is does not consider those whose benefits expired or those who are otherwise not eligible for the benefit (i.e. self employed). And then there's all those part-time workers who can't find full time work - but are considered fully "employed" by the government bean counters.
But hey, everything is wonderful. Almost as great as it was in 2007.
Best time to grab a chair is before the music stops.
Rampant currency debasement will be the most important investment trend of this decade, and it will devastate most people.
- Nick Giambruno Buy dollar insurance now, because the policy will cost more as the dollar becomes worth less.
Is a broken calendar right twice a decade?
Liberty: Parent of Science & Industry