The Banks Do Not Want The Return Of The Gold Standard

All the CEOs of the bailed out banks testifying before Congress don't want to end the Federal Reserve or return to a gold standard. Under a gold standard no future bank bailouts are possible. The Federal Reserve protects bankers from suffering the market consequences of their mistakes.

Printing Money Is Taxation In Another Form

“Printing money is merely taxation in another form. Rather than robbing citizens of their money, governments robs their money of its purchasing power.”

- Peter Schiff

Stock Market: The Trump Put

It's not just the Powell Put. The stock market also benefits from the Trump Put. Anytime the market falls Trump simply tweets something positive about a pending trade deal with China. Since Trump can't play this card if an actual deal is made, his incentive is not to make one!

Related trading tickers: SPDR S&P 500 Index ETF (SPY), Nasdaq 100 Index ETF (QQQ), SPDR Dow Jones Industrial Average ETF (DIA)

The Real Reason Why The Fed Cannot Raise Rates

The truth is they can't raise interest rates because we have too much debt we can't afford right a normal rate of interest. Because we have an abnormal amount of debt they can't shrink the balance sheet, the deficits are too high and if they did shrink the balance sheet it would put too much upward pressure on long-term interest and it would collapse the bubble.

The Coming Recession Will Be Bearish For Bonds

Wait until investors figure out that the coming recession will be bearish for bonds. This time soaring budget deficits and a return to QE and ZIRP will result in a sharp fall in the dollar and rise in consumer prices. With stagflation real demand for bonds falls as supply rises!

Related trading instruments: 10- year U.S. Treasuries, iShares Barclays 20+ Year Treasury Bond ETF (TLT), ProShares UltraShort Lehman 20+ Year ETF (TBT)

Investors Are Fearless!

On CNBC this morning a prominent asset manager boasted he is buying U.S. stocks because investors are so fearful of an inverting yield curve and that the 2nd longest economic expansion is nearing its end. While investors should fear that and more, they don't. Investors are fearless!