Why We’re Ungovernable, Part 15: Violence Goes Random
July 24, 2016
17 Comments
This series is based on the premise that debt works the same way for countries as it does for individuals and families: When you borrow
NIRP
Can You Imagine The Fed Raising Interest Rates In This World? Europe In Chaos Edition
July 7, 2016
17 Comments
Two short months ago it was generally expected that US interest rates would rise for the balance of the year — a move made possible
Something Huge Is Coming From Japan
July 3, 2016
28 Comments
Pretend, for a minute, that your country responds to the bursting of a credit bubble by borrowing unprecedented amounts of money and using it to
Will Brexit Give The US Negative Interest Rates?
June 15, 2016
13 Comments
One of the oddest things in this increasingly odd world is the spread of negative interest rates everywhere but here. Why, when the dollar is
Unintended Consequences, Part 3: “How Do I Get Away From Negative Yields?”
June 9, 2016
10 Comments
The theory was pretty straightforward: push interest rates down far enough — in some cases to negative territory where borrowers actually turn a profit on
Trickle-Down Crash? Trophy Assets Suddenly Tanking
May 29, 2016
18 Comments
One of the defining traits of the past few years’ “recovery” has been the torrent of money flowing from big banks to favored clients, and
Unintended Consequences, Part 2: Easy Money = Overcapacity = Trade Wars
May 27, 2016
12 Comments
It’s unclear what China was thinking when it was borrowed all those trillions to quadruple its capacity to make steel, cement and other basic industrial
Dead Canaries And Disobedient Falcons: Bad Month Coming, Especially For Banks
April 11, 2016
18 Comments
Corporate profitability is one of the canaries in today’s financial coal mine. If companies are making more money each year they tend to hire more
Podcast: Huge Government Deficits Coming
March 24, 2016
11 Comments
If easy money has stopped working, then what’s left? Massive deficits, of course. Pressure is building on governments around the world to increase spending and
NIRP Is Absolutely Crushing Big Parts Of The Finance World
March 23, 2016
19 Comments
Savers are the obvious victims of the past few years’ plunge in interest rates. But there are other casualties, including money market funds, which have
Here We Go Again: Government Ramps Up Borrowing As Private Sector Slows
March 21, 2016
16 Comments
This morning, US existing home sales plunged and the Chicago Fed’s national activity index turned negative. Both are obvious signs of a slowing economy. Anticipating
Well That Didn’t Work
March 18, 2016
8 Comments
The Bank of Japan and European Central Bank eased recently, which is to say they stepped up their bond buying and/or pushed interest rates further
China And Fracking: The Pillars Of “The Recovery” Are Crumbling
March 8, 2016
25 Comments
When historians sort out this era of once-a-decade financial bubbles, they’ll marvel at how dissimilar the drivers of each boom were. The junk bonds of
Cash, Guns And Safes: Stress Is Spreading
March 6, 2016
13 Comments
The Bank For International Settlements just released a report stating that the spread of negative interest rates hasn’t caused the world to end. From this
Cash, Guns And Safes: Stress Is Spreading
March 6, 2016
7 Comments
The Bank For International Settlements just released a report stating that the spread of negative interest rates hasn’t caused the world to end. From this