Tag Archives: newslettersent

  A Morally and Economically Superior Monetary System It has been theoretically demonstrated and seen in general practice that a monetary system of 100% metallic money devoid of central banking checks monetary inflation, prevents a general rise in the price level, and eliminates the dreaded business cycle while making all sorts of monetary mischief nearly impossible. A gold standard is not only economically superior...

Summary Italian banks have done worse that European banks. Italian banks outperformed Germany banks from end of H1 12 through H1 15. US banks and financials more broadly have outperformed Europe. Italian banks were struggling before the UK referendum.  The result drove down interest rate, which keeps margins under pressure. The prospects of weaker growth as a result of Brexit means that demand for credit...

  Landfall of a “Told You So” Moment… Late last year and early this year, we wrote extensively about the problems we thought were coming down the pike for European banks. Very little attention was paid to the topic at the time, but we felt it was a typical example of a “gray swan” – a problem everybody knows about on some level, but naively thinks won’t erupt if only it is studiously ignored. This actually worked for a...

07.07.2016 09:15  – FSO, Prices (0353-1606-90) Swiss Consumer Price Index in June 2016 Consumer prices increase by 0.1% Neuchâtel, 07.07.2016 (FSO) – The Swiss Consumer Price Index (CPI) increased by 0.1% in June 2016 compared with the previous month, reaching 100.7 points (December 2015=100). Inflation was -0.4% in comparison with the same month in the previous year. These are the findings of the Federal Statistical...

  Swiss Franc and SNB interventions It was another day of heavy SNB interventions. The central bank kept the euro nearly stable. As we explained before, she recycled sterling inflows in CHF into euros. Based on the magnitude of the GBP decline against EUR (see below), we estimate 2 to 4 bn CHF interventions. Click to enlarge.   Brexit The British pound has been hammered to fresh lows just above $1.3115. The euro is...

  Low Interest Rate Persons She is a low-interest-rate person. She has always been a low-interest-rate person. And I must be honest. I am a low-interest-rate person. If we raise interest rates, and if the dollar starts getting too strong, we’re going to have some very major problems. — Donald Trump BALTIMORE – With startling clarity, the presumptive Republican presidential nominee described himself – and Fed chief...

  Net Lines It’s that dreaded day after Independence Day. The weather is gorgeous and I don’t really feel like trading either. The thought of just phoning it in had occurred to me, but as the new month just rolled over I thought I may as well take another peek at our monthly charts. Which uncovered quite some interesting perspectives that I’m eager to share. But no worries – we’re keeping it light and easy...

  Net Lines It’s that dreaded day after Independence Day. The weather is gorgeous and I don’t really feel like trading either. The thought of just phoning it in had occurred to me, but as the new month just rolled over I thought I may as well take another peek at our monthly charts. Which uncovered quite some interesting perspectives that I’m eager to share. But no worries – we’re keeping it light and easy...

Summary Sterling has fallen to $1.3050. Two real estate funds have suspended trading (liquidation). Constitutional crisis over who has authority to trigger Article 50 may have begun. Sterling is continuing to move lower. It has tested the $1.3050 area in the North American morning, having been under pressure through the Asian session and the European morning.  That the UK economy is slowing down, materially, as...

  A Growing Bullish Chorus – With Somewhat Muted Enthusiasm A few days ago a well-known mainstream investment house (which shall remain nameless) informed the world that it now expects the gold price to reach “$1,500 by early 2017”. Our first thought was: “Now they tell us!”. You won’t be surprised to learn that the same house not too long ago had its eyes firmly fixed in the opposite direction. Why are we telling you...