Watch the bonds… We could be seeing the first crack in the bond market. But it seems too early to us. It seems more likely that the bond market will stretch this out…bringing more and more hapless investors on board before finally sinking. Everything takes longer than you expect.
September 9th, 2010 | Bill Bonner | 0 comments | ContinuedArchive for Bill Bonner
Best-selling investment author Bill Bonner is the founder and president of Agora Publishing, one of the world's most successful consumer newsletter companies. Owner of both Fleet Street Publications and MoneyWeek magazine in the UK, he is also author of the free daily e-mail The Daily Reckoning.
Faith in the Gold-Dow Ratio
Strikes make travel tough today – in both London and Paris. The unions have called for massive snarl-ups to protest governments’ efforts to bring spending under control. The subways aren’t running. Trains are halted. The French leftist newspaper, Liberation, says that “millions are expected to take to the streets.”
September 8th, 2010 | Bill Bonner | 0 comments | Continued
Print Money and Be Damned!
Japan was the world’s most admired economy in the ’80s. Then it was the world’s most despised economy in the ’90s. By 1995, economists pointed their fingers and laughed – the world’s most admired businessman had lost his left shoe. But now, much of the world is barefoot.
September 6th, 2010 | Bill Bonner | 3 comments | Continued
Fed Vows to Maintain Public Financial Health
Extend and pretend…That’s the government’s way of handling the crisis. Extend credit and cash to those who don’t deserve it. Then, pretend that everything is okay…But the problems don’t go away. They just get stretched into the future…What did the feds do for GM? They took over the company.
September 6th, 2010 | Bill Bonner | 8 comments | Continued
Gold Speculation During the Great Correction
Stocks go down; stocks go up – and gold keeps moving up…fiscal stimulus, monetary stimulus, quantitative easing – and gold keeps moving up…recovery…no recovery – gold keeps moving up…inflation…deflation – and gold keeps moving up…Are you beginning to see a pattern?
September 3rd, 2010 | Bill Bonner | 36 comments | Continued
Misguided Gratitude for Government Stimulus
In New York, markets enjoyed some brief respite from the blizzard of weak data as reports on the US housing market and consumer confidence proved better than feared. The Conference Board’s index of consumer confidence climbed to 53.5 last month from 51 in July…
September 2nd, 2010 | Bill Bonner | 0 comments | Continued
Healthy Correction or Ailing Recovery?
You’ll recall that when we left off last week, Ben Bernanke assured the world that while the recovery was not exactly what he had hoped for, he nevertheless had the situation in hand. He said he had the tools necessary to fix the problem and would do whatever was required.
September 1st, 2010 | Bill Bonner | 2 comments | Continued
The Summer the Recovery Went Missing
THE American economy is once again tilting toward danger. Despite an aggressive regimen of treatments from the conventional to the exotic – more than $800 billion in federal spending, and trillions of dollars worth of credit from the Federal Reserve – fears of a second recession are growing…
August 31st, 2010 | Bill Bonner | 0 comments | Continued
Zen and the Art of Economy Repair
According to an article that appeared in The New York Times, written by Norihiro Kato, the Japanese have gotten good at sloughing off their worldly cares. Japan is no longer the world’s number two economy; it was eclipsed this summer by China. But the Japanese are used to slippage.
August 30th, 2010 | Bill Bonner | 2 comments | Continued
The Mistake-Correction Cycle of Real World Economics
In the real world, the economy is always making mistakes and always correcting them. Making mistakes and correcting them. And markets are always discovering what things are worth. They figure out what one thing is worth, conditions change and they change their minds.
August 30th, 2010 | Bill Bonner | 1 comment | Continued