Jan 3, 2019

The Fed Will Do Quantitative Easing All Over Again

I don't think that the President has a lot of fans at the Federal Reserve but I don't know that those guys are smart enough to know how to target him. I actually think that had the Federal Reserve not raised interest rates it would be worse right now because the only reason the US Dollar hasn't imploded is because the Federal Reserve is raising interest rates and because people believe they're gonna continue to raise interest rates.

Now, I don't believe that. Before Trump is finished with this term, interest rates will be back at zero and the Federal Reserve is gonna be doing quantitative easing all over again. Except it's gonna backfire because it's not going to reflate asset bubbles, it's gonna throw gasoline on the inflation fire.

Dec 27, 2018

The Economy Was Never Strong

Commentators keep asking why the Federal Reserve can't raise rates if the economy is so strong?

They still don't realize that the economy was never strong. They confuse a bubble for strength. Without zero percent interest rates and QE the bubble can't survive. But a return to those policies kills the US dollar!

So-Called Experts Are Still Optimistic About The US Economy

You have to go back to the summer of 2008 to see so many so-called experts so optimistic about the U.S. economy and so dismissive of overwhelming evidence that their optimism is unwarranted.

Related trading instruments: Sector Financial Select Sector SPDR ETF (XLF), SPDR S&P 500 Index ETF (SPY), Nasdaq 100 Index ETF (QQQ), SPDR Dow Jones Industrial Average ETF (DIA)

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