Ok, so maybe that is a bit romantic, but remember that it’s the Germans that are buying the gold. Enough of them know what is coming in Europe. It stands to reason that Merkel does too.
May 29th, 2010 | Nickolai Hubble | 22 comments | ContinuedAll Posts Tagged With: "Marc Faber"
Not the End of the Greek Sovereign Debt Crisis
One key is whether the faux resolution of the Greek crisis will lead to rising sovereign bond yields. This might seem counterintuitive. If Greece is less risky and volatile, shouldn’t bond yields fall? Maybe not. If investors think the sovereign debt crisis is over, they may shift out of supposedly risk-averse assets like bonds and into equities. This would argue – in the very short term – for higher highs on the indices.
April 13th, 2010 | Dan Denning | 0 comments | Continued
China’s Economy is the Greatest Bubble on Earth
But is there really going to be a round two? Well, if the first incorrect assumption was that Australia didn’t have a bad debt problem, the second assumption is probably even more dangerous. It’s more dangerous because it’s the single most unexamined assumption behind much of Australia’s economic prosperity. The assumption is that we’ll always have China.
March 18th, 2010 | Dan Denning | 30 comments | Continued
As a Wealth Survival Strategy the Stock Market is a Death Trap
You should, by our reckoning, own a small portfolio of stocks leveraged to positive Black Swans (low probability but high magnitude events that drive a share price higher…like the discovery of a new ore body or the development of a new drug). These are the sort entrepreneurial ventures that will create new wealth.
March 5th, 2010 | Dan Denning | 25 comments | Continued
Economy of China to Decelerate?
But there are plenty of sceptics on the China story already. Our old friend Marc Faber told Bloomberg that, “It does not make sense for China to build more empty buildings and add to capacities in industries…
February 24th, 2010 | Dan Denning | 7 comments | Continued
The Debt Collection Business Booms
Yesterday’s market action was a big fat nothing burger. There was at least one item of black humour. Today’s Age reports, that, “Debt recovery specialist Collection House was at its best share price levels since 2007 after managing director Tony Aveling produced unaudited profit guidance figures suggesting its after-tax performance will be about 55 per cent better.”
January 20th, 2010 | Dan Denning | 5 comments | Continued
US Economy and its Political System Has Become More Rigid and Costly
One thing Americans take for granted is that they will always be the richest, most successful people on earth. They think that because that is what they have always known.
November 16th, 2009 | Bill Bonner | 2 comments | Continued
Hidden Inventory of Unsold Houses Will Depress Housing Prices
“Dad, I’ve got a good tenant in there. Besides, it’s not in very good shape. I’d rather sell it than invest more money in it. And there are so many places on the market, I can rent something better…
November 11th, 2009 | Bill Bonner | 0 comments | Continued
Historically, the Only Reserve a Central Bank Can Trust is Gold
Imagine what would have happened if pharaoh had stocked up on radicchio instead of grain? Those 7 lean years would have been a lot leaner than they were.
November 6th, 2009 | Bill Bonner | 3 comments | Continued
China Rises While United States Declines
“The future will be a total disaster, with a collapse of our capitalistic system as we know it today, wars, massive government debt defaults and the impoverishment of large segments of Western society,”
October 1st, 2009 | Bill Bonner | 9 comments | Continued
Stimulus Stimulates
After a half a century of stimulus – with credit, inflation and the money supply growing faster and faster – the Fed put the pedal to the metal following the nano-recession of 2001. It dropped interest rates to just 1% – well below the rate of consumer price inflation…
July 24th, 2009 | Bill Bonner | 0 comments | Continued
Global Credit Shortage is Over According to European Central Bank
That all sounds like common sense. So why are so few policy makers using their head? The people who hope the global economy can be revived through a resumption of credit growth seem to forget that it was massive credit growth that created the problem (massive global imbalances, huge debt levels, and mal-investments) in the first place.
July 23rd, 2009 | Dan Denning | 2 comments | Continued
The Bubble Deniers Deny that Their Own Stimulus Caused it
In the non-communist world, if a man had money and no bread, he exchanged the former for the latter…and sat down to dinner. As if guided by an ‘invisible hand,’ millions of people did the same thing. Everyone tried to get a bit more grease on his plate, by making his own decisions based on the facts before him.
July 20th, 2009 | Bill Bonner | 9 comments | Continued
Life Goes On
What is the stock market telling us? Has it fallen out of love with Obama? Is it terrified of his wealth redistribution policies? Is it stark raving mad? Or is it a perfectly rational reaction to a situation that lacks transparency in the banking sector and an obvious, easy way out of the economic hole we find ourselves on?
March 6th, 2009 | Dan Denning | 2 comments | Continued
