As we keep insisting, monetary central planning systematically falsifies asset prices and corrupts the flow of financial information. That’s why bubbles seemingly inflate endlessly and egregiously, and also why financial crashes and economic corrections appear to come out of the blue
November 15, 2017
Asian markets opened lower with markets continuing the slide as the day progressed. The Nikkei took the trophy for being the weakest component with a daily loss of 1.6%. With declining energy and commodity prices coupled with poor economic data
Junk bonds have been underperforming lately as widely noted. Albert Edwards at Society General also notes the underperformance of companies with poor balance sheet fundamentals. Edwards Comments “With bullishness sentiment at extremes, is it significant that my colleague Andrew Lapthorne
from the New York Fed The Federal Reserve Bank of New York’s Center for Microeconomic Data today issued its Quarterly Report on Household Debt and Credit, which reported that total household debt increased by $116 billion (0.9%) to $12.96 trillion in
The insurance industry has performed well this reporting cycle with robust earnings from key players. Even damages from successive hurricanes Harvey and Irma have not taken the sheen away from the industry as predicted earlier. Prominent players such as MetLife
The Bureau of Labor Statistics released the October Consumer Price Index data this morning. The year-over-year non-seasonally adjusted Headline CPI came in at 2.04%, down from 2.23% the previous month. Year-over-year Core CPI (ex Food and Energy) came in at
Relative Valuations We’ve seen a coordinated stock market rally in about every index globally. The chart below compares the recent Shiller PEs of the American, Japanese, European, and Emerging stock markets. The dotted lines are the average since the start
We noted in June that Zimbabwe’s cash crisis continued unabated. Those awaiting cash transfers at a bank may wait a month to be cleared and, even then, the transfer may be refused. The Standard, Zimbabwe’s leading Sunday newspaper, ran an article at the
We noted in June that Zimbabwe’s cash crisis continued unabated. Those awaiting cash transfers at a bank may wait a month to be cleared and, even then, the transfer may be refused. The Standard, Zimbabwe’s leading Sunday newspaper, ran an article at the
It might not be much of a rise but inflation clearly picked up for the month of October at the producer level. It rose a strong .4% matching last month’s when expectations were for a much smaller number of .1%.
