Image by 14995841 from Pixabay Note from the author: I use the terms stability and instability throughout this article. However, resiliency and fragility, respectively, more accurately describe the phenomena that I’m describing. Centralization creates fragility and decentralization creates resiliency. Please note this as you read the article below which I left in its original form…
Image by bridgesward from Pixabay Everyone loves to dunk on the Federal Reserve (Fed). To many, the setters of U.S. monetary policy never get it right. Its stable of Ph.D. economists are always too late, or too slow, or too early, or too fast. Shockingly, many have built prominent careers in peddling this viewpoint. Yet,..
Image by StockSnap from Pixabay As I sat down to write this month’s article, just one topic came to mind: inflation. Readers know that I just wrote on this theme. Yet, it remains topical and I have more to exploring to do. I’m specifically interested in why we’re seeing inflation now and does it even..
Image by Nina Garman from Pixabay Have you heard? There’s trouble in the repo markets. Even casual investment market participants probably know that something’s amiss. While only a handful of investors participate in repo, this obscure corner of the investment markets rests at the epicenter of the financial system—hence all the attention. The turmoil caught..
Image by Annalise Batista from Pixabay I previously postulated that negative interest rates are destructive (though profitable) and that they negate human life on a profoundly fundamental level. If they’re so bad, then how and why do they exist? Well, clearly not everyone sees it my way. My proclamations must be hyperbole, right? Not so..
“Remember that Time is Money.” Benjamin Franklin, Advice to a Young Tradesman It’s unfortunate that such genius identifications as the above have long been forgotten by the economic community. First penned in 1748, Benjamin Franklin makes the connection between human effort—or rather the application of human effort towards productive work—and the effect/product, i.e. wealth. We..
Image by Csaba Nagy from Pixabay The global economy is apparently facing a significant problem. Inflation’s gone missing! Central bankers can’t seem to stoke it no matter how deftly they act. Neither lowering interest rates to zero (and less) nor endless amounts of Quantitative Easing (QE) appear to make any difference. This, we’re told, is..
“Don’t Fight The Fed”! This was arguably the most successful investment strategy over the past ten years. There was also no easier way to tarnish one’s reputation and career than to ignore this profitable slogan, as many respectable money managers learned. However, given my assessment of the economic landscape and understanding of the bank’s inner..
Image by RayMark sourced from pixabay Powell’s Real Choice: His Reputation Or Esteem—Part 3 The following is Part 3 in a series outlining my belief that central banks and fiat currency regimes ultimately lead to increasing amounts of leverage. Part 1 can be found here and Part 2 here. Over the past few months I..
Image by bobbyrusso sourced from pixabay I joined RIA Advisors Chief Investment Strategist Lance Roberts on his show to discuss some unique views of central banks, capitalism, and modern monetary policy. Please note, that the opinions expressed are solely my own and do not reflect those of my current or any former employer. You can..
