page-loading-spinner

quantitative easing

Image | John Hussman: The Stock Market Is Overvalued By 100%
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.

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.

Image | The Global Slowdown
The Global Slowdown
 PREVIEW
by Chris Martenson

I am on record as saying that the end of the US Fed money printing (a.k.a 'QE') is a bigger deal than the equity markets of the west and Japan have factored in.

Further, I don't think that the ECB has sufficiently picked up the baton from the US Fed and I seriously doubt that they will be able to expand their money printing efforts much beyond that already announced due to pressure from a reluctant Germany.
The Global Slowdown
 PREVIEW by Chris Martenson

I am on record as saying that the end of the US Fed money printing (a.k.a 'QE') is a bigger deal than the equity markets of the west and Japan have factored in.

Further, I don't think that the ECB has sufficiently picked up the baton from the US Fed and I seriously doubt that they will be able to expand their money printing efforts much beyond that already announced due to pressure from a reluctant Germany.
Image | Brian Pretti: The World’s Capital Is Now Dangerously Boxed In
Brian Pretti: The World’s Capital Is Now Dangerously Boxed In
by Chris Martenson

This week Chris speaks with Brian Pretti, managing editor of ContraryInvestor.com, a financial commentary site published by institutional buy-side portfolio managers. In their discussion, they focus on the global movement of capital since quantitative easing (QE) became the policy of the world's major central banks.

The ensuing excellent discussion is wide ranging, but the key takeaway is that capital is being herded into fewer and fewer asset classes. With such huge volumes of money at play, very crowded trades in assets like stocks and housing have resulted — bringing us back to familiar bubble territory in record time.
Brian Pretti: The World’s Capital Is Now Dangerously Boxed In
 by Chris Martenson

This week Chris speaks with Brian Pretti, managing editor of ContraryInvestor.com, a financial commentary site published by institutional buy-side portfolio managers. In their discussion, they focus on the global movement of capital since quantitative easing (QE) became the policy of the world's major central banks.

The ensuing excellent discussion is wide ranging, but the key takeaway is that capital is being herded into fewer and fewer asset classes. With such huge volumes of money at play, very crowded trades in assets like stocks and housing have resulted — bringing us back to familiar bubble territory in record time.
Image | A Fed Insider Comes Clean
A Fed Insider Comes Clean
 PREVIEW
by Chris Martenson

After they behaved badly and almost ruined the entire world financial system while pocketing fat fees along the reckless road they laid down, the big banks got 'made whole' by the Federal Reserve.

While couched at the time in fancy acronyms, a lot of complexity, and some good old motherhood and apple pie (that is, the Fed talked about helping the economy recover and people get their jobs back), the truth of the matter is simply that the Fed cared only about helping the big banks repair their balance sheets.
A Fed Insider Comes Clean
 PREVIEW by Chris Martenson

After they behaved badly and almost ruined the entire world financial system while pocketing fat fees along the reckless road they laid down, the big banks got 'made whole' by the Federal Reserve.

While couched at the time in fancy acronyms, a lot of complexity, and some good old motherhood and apple pie (that is, the Fed talked about helping the economy recover and people get their jobs back), the truth of the matter is simply that the Fed cared only about helping the big banks repair their balance sheets.
Image | Fed Shocker: No Taper
Fed Shocker: No Taper
by Chris Martenson

The Federal Reserve today (9/18/13) surprised the world, and me, too, by not reducing the amount of bond purchases from the current $85 billion per month to something less.  The guesses and expectations were for between $10 billion and $15 billion less per month, to bring the number down to "only" $70 to $75 billion per month.

But the actual reduction was $0, leaving the purchases at $85 billion per month.

The financial markets reacted instantly.
Fed Shocker: No Taper
 by Chris Martenson

The Federal Reserve today (9/18/13) surprised the world, and me, too, by not reducing the amount of bond purchases from the current $85 billion per month to something less.  The guesses and expectations were for between $10 billion and $15 billion less per month, to bring the number down to "only" $70 to $75 billion per month.

But the actual reduction was $0, leaving the purchases at $85 billion per month.

The financial markets reacted instantly.
Image | The Dead Weight of Sluggish Global Growth
The Dead Weight of Sluggish Global Growth
by Gregor Macdonald

Global Slowdown

The U.S. economy weakened appreciably in the first quarter of 2013. But what if this weakness persists into the second quarter just completed, and worsens still in the second half of this year? Q1 GDP, as reported on June 26th, was revised lower to just 1.8%. And various indications suggest that Q2 could come in slightly lower still, at 1.6%. Might the U.S. economy be guiding to a long-term GDP of 1.5%? That’s the rate identified by such observers as Jeremy Grantham – the rate at which we combine aging demographics, lower fertility rates, high resource costs, and the burdensome legacy of debt. Well, after a four-year reflationary rally in just about everything, and now with an interest-rate shock, the second half of 2013 appears to have more downside rather than upside risk. Have global stock markets started to discount this possibility?

The Dead Weight of Sluggish Global Growth
 by Gregor Macdonald

Global Slowdown

The U.S. economy weakened appreciably in the first quarter of 2013. But what if this weakness persists into the second quarter just completed, and worsens still in the second half of this year? Q1 GDP, as reported on June 26th, was revised lower to just 1.8%. And various indications suggest that Q2 could come in slightly lower still, at 1.6%. Might the U.S. economy be guiding to a long-term GDP of 1.5%? That’s the rate identified by such observers as Jeremy Grantham – the rate at which we combine aging demographics, lower fertility rates, high resource costs, and the burdensome legacy of debt. Well, after a four-year reflationary rally in just about everything, and now with an interest-rate shock, the second half of 2013 appears to have more downside rather than upside risk. Have global stock markets started to discount this possibility?

Image | Dan Ariely: Why Humans Are Hard-Wired to Make Irrational Decisions Around Money
Dan Ariely: Why Humans Are Hard-Wired to Make Irrational Decisions Around Money
by Chris Martenson

Looking back at the carnage created by the bursting of the credit bubble, it’s natural to scratch your head and ask How did we ever let that happen? Behavioral economics exists to answer questions like this.

Chris sat down with Dan Ariely, gallivanting behavioral-economics-researcher-extraordinaire, who is breathing new life into this previously obscure field of study. The resulting interview is full of fresh, non-intuitive insights and shines light on how the human brain is often hard-wired for irrational action when it comes to money.
Dan Ariely: Why Humans Are Hard-Wired to Make Irrational Decisions Around Money
 by Chris Martenson

Looking back at the carnage created by the bursting of the credit bubble, it’s natural to scratch your head and ask How did we ever let that happen? Behavioral economics exists to answer questions like this.

Chris sat down with Dan Ariely, gallivanting behavioral-economics-researcher-extraordinaire, who is breathing new life into this previously obscure field of study. The resulting interview is full of fresh, non-intuitive insights and shines light on how the human brain is often hard-wired for irrational action when it comes to money.
Image | When Everybody Knows Something, Nobody Knows Anything
When Everybody Knows Something, Nobody Knows Anything
 PREVIEW
by Chris Martenson

Once upon a time, everybody knew that the earth was flat.  Then they all knew that it was round, but at the center of the universe.  In 1929, everybody was sure that a new permanent prosperity had been discovered. The next decade proved how wrong that assumption was.

As is repeatedly borne out in life, when everybody knows something, nobody knows anything. 
When Everybody Knows Something, Nobody Knows Anything
 PREVIEW by Chris Martenson

Once upon a time, everybody knew that the earth was flat.  Then they all knew that it was round, but at the center of the universe.  In 1929, everybody was sure that a new permanent prosperity had been discovered. The next decade proved how wrong that assumption was.

As is repeatedly borne out in life, when everybody knows something, nobody knows anything. 
Image | Off the Cuff: The Age of Delusion
Off the Cuff: The Age of Delusion
 PREVIEW
by Chris Martenson

In this week's Off the Cuff podcast, Chris and Mish discuss:

  • Fuzzy Fed Math
    • Housing-cost methodology understates true inflation
  • China's Gold Hunger
    • Vacuuming up 50% of total world production
  • Market Madness
    • Any news – good, bad, or worse – drives stock prices higher
Off the Cuff: The Age of Delusion
 PREVIEW by Chris Martenson

In this week's Off the Cuff podcast, Chris and Mish discuss:

  • Fuzzy Fed Math
    • Housing-cost methodology understates true inflation
  • China's Gold Hunger
    • Vacuuming up 50% of total world production
  • Market Madness
    • Any news – good, bad, or worse – drives stock prices higher
Image | Charting Gold
Charting Gold
by charleshughsmith

Few investment/finance topics spark as many strong emotions as gold, for its adherents and detractors are equally committed to their views, and equally unlikely to switch camps.

Adherents view gold as the only real money in a world of constant currency debasements, while detractors don’t see gold as an investment, as it lacks a yield and price-earnings ratio.
Charting Gold
 by charleshughsmith

Few investment/finance topics spark as many strong emotions as gold, for its adherents and detractors are equally committed to their views, and equally unlikely to switch camps.

Adherents view gold as the only real money in a world of constant currency debasements, while detractors don’t see gold as an investment, as it lacks a yield and price-earnings ratio.
Total 48 items

Community

Top Conversation

 Fauci's Private Diary Exposes Stark Contradictions on Lab Leak, Lethality, Lockdowns & Vaccines
Once again I am so grateful and appreciative to Chris (@cmartenson) for sorting through this horrendous Covid deception early on.
This allowed me to avoid the shot myself, self treat with ivermectin, zinc, vitamin-D and quercetin, stop wearing a mask when faced with a COVID positive patient, as well as making post on my facebook ER doctors groups that...
Image | sand_puppy by sand_puppy
40 280
View the conversation
Image | Prepare Direct

Prepare Direct

Learn more
Image | eQRP: Self-Directed Retirement

eQRP: Self-Directed Retirement

Learn more