Tag Archives: Featured

The Federal Reserve puts on a conference in the idyllic location of Jackson Hole, Wyoming. Of course it’s all about how best to centrally plan our little lives for us, and who is to be sacrificed to whom. The American Principles Project and the Atlas Network Sound Money Project, provided a much needed alternative in the Jackson Hole Summit. By choosing the same time and place as the Fed, Steve Lonegan capitalized on the publicity. In fact, the #jacksonholesummit hashtag was trending on...

Since the financial crisis central banks in developed nations increased their balance sheets. The leading one was the American Federal Reserve that increased the monetary base (M0, often called “narrow money”), followed by the Bank of Japan and recently the ECB. In most cases the extension of narrow money did neither have an effect on banks’ money supply, the so called “broad money” (M1-M3), nor on price inflation. For the Swiss, however, the rising money supply concerned both narrow and...

Swiss GDP increased by 0.2% q/q and 1.2% y/y. Once again, investments on equipment and software (+3.6%) was one of the main drivers. For many economists investment on equipment and software is the most desired GDP growth component. SECO: Gross domestic product in 2nd quarter 2015  (source)Each quarter, the Swiss department of economics (SECO) estimates the GDP and its components. The main purpose of these estimations is to provide data that allows for an assessment of the cyclical...

National accounts in Switzerland in 2014 Press Release by Swiss Statistics (FSO) Foreign trade the main source of growth Neuchâtel, 27.08.2015 (FSO) – In 2014 the Swiss economy registered a growth in grossdomestic product (GDP) of 1.9% at the previous year’s prices (+1.8% in 2013).Taking a slight  decrease in the general price level into account, GDP at current prices grew by 1.2% (2013:+1.7%). Foreign trade strongly contributed to the rise in GDP in 2014 due to sustained growthin exports...

Once upon a time, before banks and before even private lending, there was only one way to prepare for retirement. People had to hoard something durable. Every week, they would set aside part of their wages to buy salt (later, it was silver). Assuming it didn’t get wet, the salt accumulated until they couldn’t work any longer. Then, they would begin selling it off to buy groceries. This was the best they could do. By modern standards, it wasn’t a very good method. Stockpiling a commodity...

This year began with the U.S. stock market facing ever increasing headwinds that whipped up choppier waves with whiter crests and deeper troughs. These harsh winds have blown from the four points of the compass, namely the U.S. Federal Reserve Board, the Euro/Greek crisis, the energy and commodity maelstroms, and now the icy chills out of China, all combining to stir up the treacherous currents of globally unstable economic weather patterns.When the market’s weather is sunny and breezy, the...

Just another Rube Goldberg Machine The Rube Goldman machines We normally like to keep things simple and do things the easy way, but we’re completely fascinated by Rube Goldberg machines. They require a level of skill and patience we doubt we’ll ever posses and they’re the ultimate expression of doing something just because you can.   Keep It Simple, Stupid or kiss goodbye to your money Investors sometimes are tempted to build convoluted Rube Goldberg-type contraptions to tell them when...

John Henry Smith of Grail Securities (Switzerland) specializes in the U.S. stock market and offers a unique and powerful advisory service to private investors, institutional investors, and SME asset managers, who are seeking to consistently beat the market. All our strengths are at your disposal to provide stock market research and recommendations with the only aim of growing wealth. To achieve this we develop with you a customized investment strategy in terms of your risk and return...

I have been writing about consumption of capital, using the example of a farmer who sells off his farm to buy groceries. It’s a striking story, because people don’t normally act like this. Of course, there are self-destructive people in every society, but, not many. Most people know not to spend themselves into poverty. To make people hurt themselves, we need to add the essential element: a perverse incentive. Consider a parlor game called Shubik’s Dollar Auction. You auction off a dollar...

Jackson Hole: Cherry Flavored Cyanide, or Strawberry The American Principles Project and the Atlas Network Sound Money Project, provided a much needed alternative in the Jackson Hole Summit. Move Over Entrepreneurs, Make Way for Speculation! The development of lending was a revolutionary breakthrough. Lending allowed the retiree to do business with the entrepreneur. The retiree has wealth, but no income. The entrepreneur is the opposite, with income but not wealth. The retiree lets...