Well… As you began to read today’s letter, you noticed the title, so there’s no reason to beat around the bush… Let’s just see what European Central Bank (ECB) President, Trichet, had to say that would deep-six the euro’s two-day rally… Come on, it won’t bite…
[Read more...]A Greek Bond Rollover Agreement?
June 7, 2011 By Leave a Comment
Yesterday was an interesting day in the currencies. I left you yesterday morning with the euro (EUR) barely hanging on to the 1.46 handle, and falling because of some German government official spouting off about the Greek bailout… Well… The markets soon figured out just what I told you yesterday morning, and that was, that the German official was merely trying to throw the markets off the scent of a rallying euro…
[Read more...]The Extreme Cost of Government Money-Saving
May 17, 2011 By Leave a Comment
Are you paying attention, Fellow Reckoner? What may well go down as the greatest tragicomedy in history is playing out right before our very eyes.
Lucky us!
Some time today – or was it yesterday? And does it even matter? – The United States of America will crash through its so-called “debt ceiling,” the somewhat arbitrary $14.29 trillion dollar mark above which it must implement “extraordinary measures” in order to keep the lights on and its “services” running. Such are the extraordinary times in which we live. The event – which inspired little more than a rather sanguine “Humph” in the markets yesterday – sets in motion what The Wall Street Journal describes as an “uncertain, 11-week political scramble to avoid a default.”
[Read more...]Borrowing More Money: A Short-Term Solution to a Very Long-Term Problem
May 16, 2011 By Leave a Comment
As we begin a new week, the morning papers are full of headlines about an alleged rape committed by a high-profile politician. There are also a few stories about IMF Chief, Dominique Strauss-Kahn, assaulting a hotel maid. According to reports, Strauss-Khan dragged her kicking and screaming into his hotel bedroom.
[Read more...]Is the US Going the Way of Venezuela?
April 20, 2011 By Leave a Comment
Retail Sales: The Next Chapter of the Financial Crisis
April 15, 2011 By Leave a Comment
It was a good effort…but “federal debt held by the public would double under the President’s budget,” says the Congressional Budget Office (CBO).
While we were exploring gold storage, junior miners and asset protection in Zurich, the CBO did some heavy lifting on the budget proposal advanced by Mr. Obama on Wednesday.
[Read more...]Eurozone Confidence Rises
July 29, 2010 By Leave a Comment
Front and center this morning, I have to tell you that we've had a HUGE currency rally overnight, and the rally still has legs through the European session, for I saw the euro (EUR) inch higher as I booted up my computer! What's got the currencies, led by the Big Dog euro, so wound up this morning? Ahhh grasshopper… Come, sit, and let me tell you the story of an ancient warrior, no wait, let me tell you about the rally!
[Read more...]Is Alan Greenspan a National Security Risk?
June 25, 2010 By Leave a Comment
(Reuters) – “Secretary of State Hillary Clinton on Thursday said ‘outrageous’ advice from former Federal Reserve Chairman Alan Greenspan helped create record U.S. budget deficits that put national security at risk.” -February 25, 2010
Alan Greenspan lamented U.S. budget deficits in the Wall Street Journal on June 18, 2010 (“U.S. Debt and the Greece Analogy”). For an analysis of Greenspan’s flapdoodle, Barry Ritholtz covered the turf on his blog, The Big Picture. The former Federal Reserve chairman should have withheld comment, given his personal contribution to the nation’s poverty-stricken state.
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Manufacturing Growth Continues
I have to tell you what’s on my mind this morning after watching the price action again yesterday… I know, it’s just me, and no one else in the writing/analyst world will tell you this, because they have no proof… I don’t either, but that never stops me from saying what’s on my mind regarding these markets now, does it?
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