A Submerging Global Economy

By Egon von Greyerz – Re-Blogged From Gold Eagle

Many emerging markets are now turning to submerging markets as country after country is experiencing falling economies, currencies and stock markets.

The currency is often the best indication of a country’s economic health. Just look at these six currencies submerging into obscurity:

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Don’t Count On Yield Curve

By Arkadiusz Sieroń – Re-Blogged From Gold Eagle

Are we going to fall into the trap of a self-fulfilling prophecy? Could investors trigger recession only because they are so worried about inversion of the yield curve? We invite you to read our today’s article about the yield curve and find out whether the popularity of the yield curve as an indicator of recession will bring on the recession that everyone is so afraid of.

In the last edition of the Market Overview, we have discussed whether gold investors should worry about the yield curve. Or should they keep their fingers crossed for its inversion? We concluded that not necessarily, as its predictive power has weakened and it doesn’t say anything about the timing of recession.

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Jobless Claims Fall to Near 49-Year Low

By Thomson Reuters – Re-Blogged From Newsmax

The number of Americans filing new claims for unemployment aid fell to near a 49-year low last week and private payrolls rose steadily in August, pointing to sustained labor market strength that should continue to underpin economic growth.

The economy so far appears to be weathering an escalating trade war between the United States and China as well as tensions with other trade partners, including Canada, the European Union and Mexico, which have rattled financial markets.

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A Pound of Cure

By Peter Schiff – Re-Blogged From Euro Pacific Capital

This week, as investors and economists fixate on record highs set by major stock market indices, they have ignored much more significant developments that emerged from the Federal Reserve’s annual meeting in Jackson Hole, Wyoming. Fed Chairman Jerome Powell delivered a speech that somehow was almost universally interpreted as a reiteration of his commitment to continue to raise rates throughout the next few years. “Steady as she goes” was the takeaway from just about any news outlet. But the Chairman’s actual message was essentially the opposite of what the media reported. From my perspective, it provided evidence that President Trump has succeeded in getting Powell’s mind right on the need for the Fed to continue to stimulate the economy, no matter how much evidence emerges that it is already over-stimulated.

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Argentina Currency Crisis Pain Is Spreading

By Bloomberg – Re-Blogged From Newsmax

Tommy Samson is explaining why he’s been forced to scale back business amid Argentina’s financial-market rout. His Buenos Aires firm imports surgical equipment such as sutures for stitching wounds, paying in foreign currency. Then he sells them to local customers in pesos.

The last link in that chain is breaking down — because Argentina’s currency is in freefall. It’s lost half its value this year, and some 20 percent this week alone. The slump threatens to spread havoc through the $640 billion economy, rupturing supply chains for businesses and straining the finances of households.

And it’s casting a shadow over President Mauricio Macri’s prospects of winning re-election next year. Even Argentina’s most market-friendly leader in more than a decade has struggled to restore investor confidence.

Image: Argentina Currency Crisis Pain Is Spreading
(Dreamstime/Siempreverde22)

“There’s no clear price reference after the peso plunge.”

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Blue-Collar Lives Seem to Be Advancing in the ‘Right Direction’

By Madison Summers – Re-Blogged From IJR

New study collected from 1,049 blue-collar workers shows they’re pretty optimistic about their lives and jobs.

In a new survey by The Harris Poll, commissioned by Express Employment Professionals, 85 percent of blue-collar workers believe their lives are heading “in the right direction.”

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Drew Angerer/Getty Images

Taming the EPA Regulatory Hydra

Foreword by Paul Dreissen – Re-Blogged From WUWT

In recent years, the US Environmental Protection Agency published over 25% of all pages of regulations issued by all federal government agencies, including 13 of the 28 most costly rules. In fact, EPA has been responsible for half of all costs imposed by federal regulations on American businesses and families – often for few or no actual environmental, health or welfare benefits.

The Trump Administration has taken important steps to rein in this Regulatory Hydra. However, another anti-business, hyper-regulatory administration could reverse those gains, especially because a single Administrator runs an agency that has shown a penchant for exaggerating risks and hiding or ignoring any scientific evidence that questions its claims and proposals.

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