Simon Black discusses Japan’s problems: 46% of the Japanese government’s budget is financed by debt. Most of this is mopped up by the central bank. Yet as the government’s debt level already exceeds 200% of GDP, the gross interest payments alone eat up more than 50% of tax revenue. Japan has no hope of getting […]
Is there a scarier chart than this if you are Japanese? Note the position of the US, lest you think things are rosy here! The interconnectedness of the world financial system ensures that problems in one area will ripple throughout the system. In that sense, responsible behavior by one country may not be enough to […]
A very long and relevant talk was given by David Stockman at Harvard. His conclusion is that the problems are political and irreversible, two common themes of this website. Imagine how this bastion of liberalism must have taken his analysis? His talk follows (the emboldening in mine). SUNDOWN IN AMERICA: THE KEYNESIAN STATE-WRECK AHEAD Remarks […]
A simple video explains what has happened and how it is no different from any other country/civilization that rises and falls. It focuses on money/gold and provides an historical as well as a causal explanation of why a major crash is inevitable. We can either die in the flames of inflation or freeze in deflation/depression. […]
Reader RFNII frequently sends me analysis sent to his clients. The findings below should not surprise. Government is desperate and has gone into survival mode. To protect itself it will do anything necessary. This condition is not new. The desire to cover up economic weakness was what was responsible for the bubbles that led to […]
It is nearly impossible to convince people that an economic collapse is likely, perhaps inevitable. It is beyond anything they have seen or can imagine. I attribute that to a normalcy bias, an inherent weakness of experiential learners. For many, accepting something that has not occurred during their time on the planet is not possible. The […]
For anyone foolish enough to believe there is a recovery underway, Business Insider provides a slide presentation by David Rosenberg that should disabuse you of any such notion. Mr. Rosenberg is one of the more astute analysts around. His take is that the Federal Reserve is doing all it can to save the economy but […]
A good piece of advice is to be wary when you hear the hackneyed phrase “this time is different.” Just as one should never say “never,” one should never suggest something is unique enough to suggest it never happened before. Yet that is exactly what is claimed by Gordon T. Long and John Rubino in […]
David Stockman wrote an intriguing article which appeared in the NY Times. That it appeared in the Times is noteworthy itself, for it contradicts so many liberal shibboleths the paper has supported (promoted) for many years. Its appearance is less likely to reflect the first steps to Damascus and may be a sign of financial […]
Three articles have appeared here recently on the situation in Cyprus. This tiny, almost negligible, country can have no impact on the financial crisis that is coming. At least in terms of its dollar impact, it cannot. Relative to the rest of the world, it is equivalent to a pimple on an elephant. Cyprus’ economic […]
Suggested stops for the December rankings are provided below. These are mechanical calculations based on ETF volatility. As usual, the first column represents the price at the end of November and the second two columns represent possible stop levels. One is tighter than the other and whether you choose either or set your own is […]
The December rankings and performance of previous rankings are provided below. Suggested stop levels for each of the rankings will be provided in a separate post. December Selections
This update is based on market-close data as of November 22. Performance is based on beginning of that month’s rankings, assuming they were purchased and held for a full month. Stop placement or early selling would produce different results. So, too would different entry or exit prices. There is no way to account for early […]
The ranking of the 11 ETF Asset Classes routinely followed on this site is shown below. These rankings reflect the latest order produced by the algorithm used to rank individual ETFs. There have been some movements in these rankings reflecting recent market action.
The updated performance through November 13 is presented below. Additionally, the new rankings as of this same date are provided. Performance is based on the rankings as of November 1. The assumption is that you bought and held equal dollar amounts within a category and that you still hold these ETFs. If you entered at […]
Monty Pelerin's World discusses economic, political and financial issues from a free market perspective. All Posts
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