Dollar ↓ Profits ↑

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This post Dollar ↓ Profits ↑ appeared first on Daily Reckoning. Most stock investors couldn’t care less about the dollar. When it comes to the dollar, most people here in the U.S and abroad have just one concern: what can a dollar buy me? And when you start talking about the dollar as an asset… Read More

The Fantasy of "Balanced Returns" Funding Retirement

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Consider how a “balanced portfolio” yielding “balanced returns” worked out for middle class retirees in Venezuela. The fantasy that a “balanced portfolio” yielding “balanced returns” will fund a stable retirement for decades to come is widely accepted as a sure thing:inflation will stay near-zero essentially forever, assets such as stocks and bonds will continue yielding… Read More

“Buy [XXX XXXXXX] Now!”

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This post “Buy [XXX XXXXXX] Now!” appeared first on Daily Reckoning. Buy oil stocks now! That’s what DoubleLine Capital’s Jeff Gundlach recommended on stage during the closely watched Ira Sohn Investment Conference earlier this week. For a few months now, Gundlach has been making a bullish case for commodities in general. In fact, bullish may… Read More

America’s “Actual” GDP: The Shocking Truth

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This post America’s “Actual” GDP: The Shocking Truth appeared first on Daily Reckoning. Saturday last we offended the pieties. We reckoned that democracies — being shortsighted — tend toward vast accumulations of debt. In response, reader Tom B. dealt with us as follows: The committed ignorance of pseudointellectual arrogance and their refusal to take an… Read More

Matt Badiali’s Freedom Checks Exposed!

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This post Matt Badiali’s Freedom Checks Exposed! appeared first on Daily Reckoning. Investment expert Matt Badiali recently released a viral video called “Freedom Checks” that has many scratching their heads, wondering what these investments are exactly. In the video, now viewed by millions of Americans, Matt says these “freedom checks” are not a government program… Read More

The Great Bitcoin Crash of 2018

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This post The Great Bitcoin Crash of 2018 appeared first on Daily Reckoning. A bitcoin “flash crash” briefly rattled cryptocurrency traders last night. Bitcoin lost more than $3,500 before quickly recovering. As of early this morning, the digital currency is back above $17,000. Speculators may have gobbled up this brief bitcoin dip. But it isn’t… Read More

What Could Pop The Everything Bubble?

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As central bank policies are increasingly fingered by the mainstream as the source of soaring wealth-income inequality, policies supporting credit/asset bubbles will either be limited or cut off, and at that point all the credit/asset bubbles will pop. http://ads.investingchannel.com/adtags/OfTwoMinds/alternativeinvesting/300×250.js I’ve long held that if a problem can be solved by creating $1 trillion out of… Read More

Andy Xie Warns “The Bubble Economy Is Set To Burst” As Political Tension Soars

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Authored by Andy Xie via The South China Morning Post,
Central banks continue to focus on consumption inflation, not asset inflation, in their decisions. Their attitude has supported one bubble after another. These bubbles have led to rising ­inequality and made mass consumer inflation less likely.

Since the 2008 financial crisis, asset inflation has fully recovered, and then some. The US household net worth is 34 per cent above the peak in 2007, versus 30 per cent for nominal GDP. China’s property ­value may have surpassed the total in the rest of the world combined. The world is stuck in a vicious cycle of asset bubbles, low consumer ­inflation, stagnant productivity and low wage growth.
The US Federal Reserve has indicated that it will begin to ­unwind its QE (quantitative easing) assets this month and raise the ­interest rate by another 25 basis points to 1.5 per cent. China has been clipping the debt wings of grey rhinos and pouring cold water on property speculation. They are..