Archive for January, 2019

Powell Put Sends Stocks Soaring, Recession Must be Near

Posted January 30, 2019 By David Haggith
Federalreserve [Public domain], via Wikimedia Commons

Federal Reserve Chair Jerome Powell placed his put in stocks while saying there is none. When he doubled down today on a more dovish approach to the economy, Powell claimed the Fed is not designing interest rates to keep the market climbing. If that is true, recession must be near: Fed delivers a “double-barrel dovish […]

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Federal Reserve's Great Recovery Rewind is reducing reserves banks hold as protection against runs.

We are in the end time of an unprecedented era of financial expansion — the greatest expansion of the world’s money supply ever attempted, expansion of the Federal Reserve’s vast and unchecked powers far beyond what the Fed could do before the financial crisis, and super-sizing expansion of banks that were already way too big […]

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The Great Recovery Rewind: An Interesting Interest Conundrum

Posted January 25, 2019 By David Haggith
Central banks are cause of inverted yield curve recessions

(This Premium Post, available to patrons who support this site at $5 or more per month, explains how the Great Recovery Rewind works, how it impacts interest rates, and how it may be monetizing the US government debt. It can be opened here with the password provided to Premium Post Patrons or in my posts […]

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One of my readers, Peter Wang, was interested in publishing a few book reviews. This particular book tells you how to invest in bonds. While I’m not making any recommendation for or against bonds, I’ve written a lot about bonds in the last week, and that may have gotten some readers wondering how to actually […]

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Federal Reserve balance sheet reduction not happening yet even as the Fed applauds its own success

In a surprisingly candid admission, two former Federal Reserve chairs have stated that the Federal Reserve alone is responsible for creating all recessions in the United States. First, former Fed Chair Ben Bernanke said that Expansions don’t die of old age. They get murdered. MarketWatch To clarify this statement, former Chair Janet Yellen placed the […]

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BOND PRIMER: Does Inverted Yield Curve Indicate Recession?

Posted January 15, 2019 By David Haggith
Central banks are cause of inverted yield curve recessions

This brief post presents simple historic proof that inverted yield curves predict recessions. I am posting it in anticipation of an article this week in which the Federal Reserve surprisingly admits it is solely responsible for creating recessions. Does an inverted yield curves predict a recession? An inverted yield curve has happened shortly before every US […]

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Second Libert Loan Bond Ad

This is a simplified explanation of a few often confusing bond terms, explaining bond yield, bond interest and bond price and briefly discussing how bonds and other US treasuries are traded. I am posting it in anticipation of an article this week in which the Fed surprisingly admits it is solely responsible for creating recessions. […]

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Groesbeck, Dan Sayre, 1878-1950, artist; McAdoo, W. G. (William Gibbs), 1863-1941. [Public domain], via Wikimedia Commons

This is a simple explanation of an inverted yield curve along with a few basic definitions of US treasury securities — bills, notes and bonds. I am posting it in anticipation of an article this week in which the Fed surprisingly admits it is solely responsible for creating recessions. It is for the sake of […]

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First Premium Post Available

Posted January 8, 2019 By David Haggith

My first Premium Post, “2019 Economic Headwinds Look Like Storm of the Century,” lays out a broad overview of the forces that I am certain will prevail against the economy this year. It should give subscribed readers a solid feel for what’s coming at us. It’s not an article of predictions so much as an […]

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2019 Economic Headwinds Look Like Storm of the Century

Posted January 8, 2019 By David Haggith

2018 was the year Wall Street was wrong about everything. You can trust your stock broker if you want, but 2018 doesn’t give much confidence in her ability to stop talking her book and start talking straight. However, this overview of global economic headwinds — greater in number and more severe than I can ever […]

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Compare the Market Tops

Posted January 2, 2019 By David Haggith

A picture is worth a thousand words. Just saying. Can you even see the bottom from there? That’s all. Oh, and you can find more market-shattering charts here to back that one up: https://northmantrader.com/2019/01/02/shattered-trends/

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Punxsutawney Phil, the groundhog of happiness, can do better prognostication for you than Dennis Gartman. Like Gartman, he’s a friendly little guy, and he even looks like he could be family. However, Phil won’t be on duty for you until February. So, as I work on my first real article for the year, I thought […]

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