Mark Mobius: Central Banks Shouldn’t Be Cutting
“I think the whole theory of lowering interest rates is insane.”
Image of the Day: The Approaching Storm
Via the great cartoonist Michael P. Rameriz
Another Great Rotation Looms
Either we are slipping into a recession here and now, or there is going to be another ‘great rotation’ out of bonds
Negative Rates Are a Massive, Negative-Carry Short on the Global Economy
It is only a slight exaggeration to say that the greatest risk facing institutional investors today would be the lack of a recession.
Why US Government Deficit Spending Isn’t Stimulative
A bond simply represents a transfer money (and the potential for consumption) from someone to someone else
El-Erian: Negative Rates Erode the Integrity of Market System
“The longer you persist with negative interest rates, the higher the costs and risks”
In Brief: The Decline of the US Dollar Since the Founding of the Fed
The Fed has come to interpret ‘price stability’ as meaning a stable rate of increase in prices
Sam Zell: Hard to Have a Recession When Interest Rates Are Zero
“The fact that I am waiting for (a recession) is probably a positive sign because complacency is usually a major factor”
George Friedman: Chinese Position Like Japan in 1989, But Worse
They’ve lost the wage advantage
Luke Gromen: Liquidity Crisis Will Force Fed to Expand Balance Sheet
“What happened last October was that FX swap insurance on the dollar effectively when ‘no-offer'”