by Mac Slavo
As everyone knows by now, the Federal Reserve’s main tool in economic warfare has become hyper low interest rates and, thus, extremely cheap money for large institutions vis-à-vis the controversial reign of QE – quantitative easing.
Now, the how-low-can-you-go climate has created negative interest rates, meaning not only that many investments carry no return but that many deposits cost money.
Well-known Citigroup economist William Buiter says the solution to this backwards market is to reign in the appeal of normal currencies like cash – because it is “causing problems” for central bank manipulation:
Continue Reading at SHTFPlan.com…
by Jonathan Newman
[Adapted from a lecture presented at the Mises Institute’s Sound Money Conference, April 10, 2014.]
The word “inflation” means different things to different people. One popular conception of inflation focuses on prices ?— ?all prices, actually. For these people, including some economists, “inflation” means a rise in the general price level, i.e., the goods and services we buy have higher price tags.
The other conception of inflation focuses on the money supply. Economists with this focus think of inflation as an increase in the amount of money in the economy. We’ll see that viewing inflation as a rise in prices can be misleading and ambiguous especially compared to viewing inflation as an increase in the money supply.
Continue Reading at Mises.org…
by Gary North
If fire break out, and catch in thorns, so that the stacks of corn, or the standing corn, or the field, be consumed therewith; he that kindled the fire shall surely make restitution (Exodus 22:6).
This passage has to do with legal liability. If somebody sets a fire on his own property, and this fire spreads to his neighbor’s property, the man who set the fire is legally responsible. He has to make restitution to his victim. This is a case of accidental damage. How much greater the liability when the damage is deliberate?
The Bible makes it clear that ownership involves legal responsibility. An owner is responsible for his property-based actions. He is not entitled to pass on his costs of ownership to his neighbor, unless his neighbor has given permission. His neighbor has been granted legal immunity for his property. This is a legal boundary. No one is allowed to invade his property. This is not just geographical property; this is any form of property.
Continue Reading at LewRockwell.com…
by Jason Simpkins
There’s something big going on in the junk bond market right now.
You might be aware of it — or heck, even participating.
It’s a bubble.
See, with interest rates so low, investors have been on a desperate search for high-yielding investments these past few years.
That’s led them to junk bonds, which pay about 6%, compared to 1.9% for 10-year Treasuries.
Continue Reading at OutsiderClub.com…
by Taki Tsaklanos
If anything, gold bulls are continuously looking to confirm their bullish outlook. Most precious metals websites are filled with stories, news and developments from the gold market, accompanied by the implication that they will drive the gold price up. Examples of this include gold coin sales, Shanghai gold withdrawals, central bank buying volumes, evidence of market manipulation, money printing volumes, velocity of money, etc.
The ongoing narrative is that there is a positive correlation between monetary stimulus and the price of gold. However, as you probably know by now, precious metals collapsed during the Fed’s QE to infinity program. The long-term gold chart (first chart below) shows that gold stabilized when the Fed started tapering and around the end of QE, which is very counterintuitive to say the least. That is not to say there is no correlation, but there is definitely not a direct correlation.
Continue Reading at FinancialSense.com…
from Jesse’s Café Américain
Gold and silver ended the week pretty much revolving around the same trading ranges.
I might say that gold is coiling for a move, but I really don’t quite feel it in the charts or the action on the tape.
The pricing on the Comex is being run like a bucket shop, so using finely tuned technical indicators is probably fruitless.
At some point this gold pool will break down. When that will be I cannot say.
Continue Reading at JessesCrossroadsCafe.Blogspot.ca…
by Michael Snyder
End of the American Dream
If you are a Bible-believing Christian, there is no place for you in Barack Obama’s version of the U.S. military. Christian service members all over the nation are being disciplined for reading their Bibles, talking about their faith publicly and encouraging others to live a moral lifestyle. And just saying the name of “Jesus” at the wrong place or the wrong time while serving in the military is enough to spark a national controversy. We live at a time when political correctness in America is wildly out of control, and thanks to Obama the U.S. military has become one of the most politically correct institutions in our society. Things have gotten so bad that dozens of top officers that did not agree with Obama’s views have been forced out of the military in recent years. The U.S. military is being transformed into an overtly anti-Christian institution, and for those of us that are Christians that is a very chilling development.
Continue Reading at EndOfTheAmericanDream.com…
by Karl Denninger
Notice the slant on this article out of Cornell.….
But a new study by Cornell psychologists suggests that era has ended, finding in experiments with professors from 371 colleges and universities across the United States that science and engineering faculty preferred women two-to-one over identically qualified male candidates for assistant professor positions.
It has “ended”? Uh, no, it has reversed, and one would think that this would lead to an immediate call for protection for men from said discrimination along with lawsuits aimed at the colleges involved.
Continue Reading at Market-Ticker.org…