page-loading-spinner

central banks

by Chris Martenson

Executive Summary

  • What is 'deflation?'
  • Why do central banks fear it so much?
  • What falling prices really mean.
  • Commodities are telling us that a global slowdown is already here.
  • China's economic miracle is over.
  • What happens next (please keep your preparations on track!)

If you have not yet read Oil And The Global Slowdown available free to all readers, please click here to read it first.

The title of this part says it all. So let's begin with an important definition. What is 'deflation'?

To hear the media and central banks tell it, it is something fearful and that must be avoided at all costs. Confusingly they then point to falling prices as evidence of the horror of which they speak.

The only problem is that you and I like falling prices. If my health insurance cost 10% less next year I’d be thrilled. But the central banks would be horrified.

The difference between these two positions lies in the definition of deflation. While the media always blindly regurgitates the central bank line that falling prices are an indication of deflation they really shouldn't.

The Central Banks Have Lost
PREVIEW by Chris Martenson

Executive Summary

  • What is 'deflation?'
  • Why do central banks fear it so much?
  • What falling prices really mean.
  • Commodities are telling us that a global slowdown is already here.
  • China's economic miracle is over.
  • What happens next (please keep your preparations on track!)

If you have not yet read Oil And The Global Slowdown available free to all readers, please click here to read it first.

The title of this part says it all. So let's begin with an important definition. What is 'deflation'?

To hear the media and central banks tell it, it is something fearful and that must be avoided at all costs. Confusingly they then point to falling prices as evidence of the horror of which they speak.

The only problem is that you and I like falling prices. If my health insurance cost 10% less next year I’d be thrilled. But the central banks would be horrified.

The difference between these two positions lies in the definition of deflation. While the media always blindly regurgitates the central bank line that falling prices are an indication of deflation they really shouldn't.

by Chris Martenson

John Hussman is highly respected for his prodigious use of data and adherence to what it tells him about the state of the financial markets. His regular weekly market commentary is widely regarded as one of the best-researched, best-articulated publications available to money managers.

John's public appearances are rare, so we're especially grateful he made time to speak with us yesterday about the precarious state in which he sees global markets. Based on historical norms and averages, he calculates that the ZIRP and QE policies of the Fed and other world central banks have led to an overvaluation in the stock market where prices are 2 times higher than they should be.

John Hussman: The Stock Market Is Overvalued By 100%
by Chris Martenson

John Hussman is highly respected for his prodigious use of data and adherence to what it tells him about the state of the financial markets. His regular weekly market commentary is widely regarded as one of the best-researched, best-articulated publications available to money managers.

John's public appearances are rare, so we're especially grateful he made time to speak with us yesterday about the precarious state in which he sees global markets. Based on historical norms and averages, he calculates that the ZIRP and QE policies of the Fed and other world central banks have led to an overvaluation in the stock market where prices are 2 times higher than they should be.

by Chris Martenson

The second part of our interview with John Hussman is available here for Peak Prosperity's enrolled members.

If you've not yet listened to Part 1, click here to do so.

In Part 2 of the interview, John provides more specificity around his valuation methodology, and how he sees things playing out from here in the financial markets. 

To access Part 2 of this podcast, simply click the yellow button to enroll.

 

John Hussman Podcast – Part 2
PREVIEW by Chris Martenson

The second part of our interview with John Hussman is available here for Peak Prosperity's enrolled members.

If you've not yet listened to Part 1, click here to do so.

In Part 2 of the interview, John provides more specificity around his valuation methodology, and how he sees things playing out from here in the financial markets. 

To access Part 2 of this podcast, simply click the yellow button to enroll.

 

Total 198 items