Does Wall Street Now Have A Powell Put

By Michael Pento – Re-Blogged From Pento Portfolio Strategies

First let’s explain exactly what a “Fed Put” is. A Fed put is defined as: The confidence of Wall Street that the Fed will lower interest rates and print money to support the market until economic strength will be strong enough to carry stocks higher. The term “Put” is ascribed to this because a put option is basically a contract that offers a buyer protection from falling asset prices. It was first coined under the Chairmanship of Alan Greenspan when he lowered interest rates and printed money to rescue Wall Street from its 22% Black Monday crash back in 1987. The practice of bailing out stocks was institutionalized by Ben Bernanke; and then became a bonafide tradition perpetuated by Janet Yellen.

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The Approaching Storm

By Gary Christenson -Re-Blogged From Gold Eagle

Peter Schiff explained “What Happens Next.” This article takes his “likely sequence of events” and expands the discussion.

His sequence:

  1. Bear Market
  2. Recession
  3. Deficits explode
  4. Return of ZIRP and QE
  5. Dollar tanks
  6. Gold [and silver] soars
  7. CPI spikes
  8. Long-term rates rise
  9. Federal Reserve is forced to hike rates during a recession
  10. A financial crisis without stimulus or bailouts.

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Housing Bubble Is Popping Right Now

By Adam Taggart – Re-Blogged From Silver Phoenix

As we’ve been tracking here at PeakProsperity.com, the housing market is starting to look quite ill.

After the central bank-driven Grand Reflation following the Great Financial Crisis, home prices are now beginning to nose over from their new bubble-highs.

Has the Housing Bust 2.0 begun? If so, how bad could things get? And what steps should those looking to pick up values at much lower prices in the future be taking?

This week we talk with citizen journalist Ben Jones, property manager and publisher of TheHousingBubbleBlog — where he tracks the latest headlines and developments in the housing market.

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What Is The Stock Market Trying To Tell Us?

By Rudi Fronk and Jim Anthony – Re-Blogged From Silver Phoenix

First and foremost, valuations are too high. Third-quarter results have been disappointing. Investors are realizing that sales and earnings cannot grow fast enough to keep the market at record valuations.

Second, the stock market is telling us that its advance has been too narrow. . .too dependent upon a handful of stocks driven higher by the herding effect of passive ETF and index investing where the winners win more because they are winners, boosted by their celebrity status than fundamentals. These market leaders have now been rounded up and summarily shot.

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Shiller: Housing Market Ready to Burst, Reminiscent of 2006 Bubble

Re-Blogged From Newsmax

Nobel Prize-winning Yale economist Robert Shiller warns that the weakening housing market is showing the same symptoms as it did just before the subprime housing bubble burst a decade ago.

The economist, who predicted the 2007-2008 crisis, recently told Yahoo Finance that current data reflects “a sign of weakness.”

“The housing market does have a momentum component and we’re seeing a clipping of momentum at this time,” said Shiller, the co-founder of the Case-Shiller Index, which tracks home prices around the nation.

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“Black Swan” Author Just Issued a Powerful Warning About Global Debt

By Frank Holmes – Re-Blogged From Gold Eagle

The world is more fragile today than it was in 2007. That’s the opinion of former derivatives trader Nassim Taleb, whose bestseller, The Black Swan, is about how people make sense of unexpected events, especially in financial markets. True to form, he made a whole lot of money after predicting the global financial crisis more than a decade ago.

Speaking with Bloomberg’s Erik Schatzker last week, Taleb said the reason why he has reservations about today’s economy is that it suffers from the “same disease” as before. The meltdown in 2007 was a “crisis of debt,” and if anything, the problem has only worsened.

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End Of The World (Part 2)

By Gary Christenson – Re-Blogged From Gold Eagle

Part one discussed the “what” and “why” of unpayable debt, an inevitable “reset” or the end of the current financial world. Part two addresses when.

REVIEW FROM PART ONE

  • A risk/reward analysis for 2018—202? points toward gold and silver, not stocks, bonds, corporate debt, student loans or most asset classes.
  • The “everything bubble” will burst. Consequences will be dire for many individuals, businesses and governments.
  • Debt and spending are “out of control.” Central banks will “paper over” massive defaults, and fiat currencies will devalue.
  • Hyperinflation, defaults and resets occurred in many countries and could (will) happen in developed countries such as the U.S.
  • Rig for stormy weather! Gold and silver bullion and coins are “insurance” against the inevitable currency devaluations that must occur in our debt based fiat currency systems.

Part Two—When?

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