“The US is not alone in facing a deficit crisis,” reports the U.K.’s Telegraph. “Governments worldwide have to raise some $6 trillion in debt this year, with huge demands in Japan and Europe. Kyle Bass from the US fund Hayman Advisors said the markets were ‘choking on debt’”.
May 27th, 2009 | Dan Denning | 2 comments | ContinuedAll Posts Tagged With: "quantitative easing"
Australia’s Currency and its Economy Will Benefit from China’s Stimulus Package
“Asia is still going to expand, and China and India will have growth above 5 percent. That’s fuelling demand for commodities, so Australia’s exports are holding up much better than the rest of the G-10 countries.”
Paresh was also referring to the 21% rise in the Aussie dollar versus the U.S. dollar since February 25th.
Central Banks’ New Money is Piling Up
“Quantitative Easing” it is called. As a refresher for readers with real lives and better things to do, QE is how central banks describe what is essentially an act of counterfeiting. They buy bonds with money created – electronically – specifically for that purpose.
May 25th, 2009 | Bill Bonner | 6 comments | Continued
Obama Admits: America is Out of Money
“Well, we are out of money now,” Obama said. It’s kind of shocking to hear a politician be so direct. Surely it must have been a slip up. But the man is right. America, along with Britain, is financing a hodge-podge of corporate welfare and classic handouts with deficit spending…
May 25th, 2009 | Dan Denning | 10 comments | Continued
Everyone We Know Expects a Fairly Quick Up-move in Inflation
“It’s a very funny and troublesome situation,” said a fund manager in Boston last night. “The world’s central bankers are committed to a policy of monetary inflation…which they call ‘Quantitative Easing.’ And they believe that inflation targeting is the way they can tell if their policy is working.
May 19th, 2009 | Bill Bonner | 1 comment | Continued
Investors Tend to Race Ahead and Ruin the Whole Thing
If people could read next year’s fashion magazines, they’d buy tomorrow’s fashions today. Then, some wiseacre would buy the day after tomorrow’s fashions…just to be ahead of everyone else. And then, nobody would want to be stuck with tomorrow’s hairdo – it would already be out-of-style.
May 19th, 2009 | Bill Bonner | 0 comments | Continued
Capitalism Always Takes an Economy Where it Ought to Be
Whoever was responsible for the mistakes, capitalism went about correcting them with its customary élan. It hit imprudent investors with trillions in losses. It knocked down mismanaged corporations. It whacked homeowners…
May 12th, 2009 | Bill Bonner | 1 comment | Continued
The Dollar’s Last Days
Last week, a decimal point seemed to move to the left. A UN advisory panel had suggested that maybe it was time to figure it out a better way to run the world’s monetary system. Better, that is, than using the U.S. dollar as the reference currency for the whole world.
March 31st, 2009 | Bill Bonner | 6 comments | Continued
Investors’ Objective: To Make Money
Stocks did indeed rally. The Dow rose 497 points…putting some bounce back in the bounce. We’ve been expecting a healthy rebound. Normally, after such a long and steep sell-off, you can expect a rebound that recovers 30%-50% of the losses. We have not had such a rebound…yet. Maybe this is it.
March 25th, 2009 | Bill Bonner | 1 comment | Continued
Ron Paul Heralds a 15 Year Depression
He’s probably right. In the old days, “panics” and “depressions” ended fairly quickly…at least unemployment tended to be short-term. There were no elaborate social welfare systems then. No unemployment compensation. No food stamps or “independence” cards. People had to make do.
March 24th, 2009 | Bill Bonner | 2 comments | Continued
Bernanke’s Stunning Plan
“This is a very powerful and aggressive move,” said the chief economist at Bank of New York Mellon Corp., speaking with Bloomberg Television. “One of the reasons I’ve been arguing we won’t have a depression is we’ve got a Fed chairman who understands the problem and is going to come with the right diagnosis and the right medicine.”
March 23rd, 2009 | Bill Bonner | 0 comments | Continued
Quantitative Easing Explained
The Easer. You know, for the Quantitative Easing. Now, if you could just keep facing the wall for me… Does it really have to be so big? Jeez, it looks…it looks medieval… Aw, but this is state of the art. Ground-breaking, in fact! And you are a very sick man, as we discussed. The blood-tests would prove it… if only we had time to wait for the lab to come back with the results…
January 9th, 2009 | Adrian Ash | 3 comments | Continued
