The ECB will lend to banks in the next two years up to a trillion euros to revive the real economy in the periphery of the Eurozone all to save the Euro and retain the power in Brussels that is crumbling at the edges. This, massive volume of long-term loans is even far greater than previously known. Europe is in very serious economic trouble. There is still no intent upon consolidating the debt and instead they continue to use band-aids when stitches are serious required.
So now we learn. Germany had a double-dip recession last year without telling us. This could soon turn into triple-dip after contraction of 0.2pc in the second quarter. German bond yields are pricing in stagnation as far as the eye can see. 10-year Bunds fell below 1pc this morning for the first time in history, and far below levels seen during the deflationary episodes of the Second Reich in the late 19th Century.
What began as a routine report before the Senate Finance Committee Tuesday ended with Bernanke passionately disavowing the entire concept of currency, and negating in an instant the very foundation of the world’s largest economy.
Europe’s economic recovery has stalled. The EMU policy elites took a fateful gamble that global growth alone would lift the eurozone off the reefs, without the need for serious monetary stimulus or a reflation package to ensure take-off velocity. Their strategy has failed. The Bundesbank says
Nomi Prins is a renowned journalist, author and speaker. Her most recent book, All the Presidents’ Bankers, a groundbreaking narrative about the relationships of presidents to key bankers over the past century will be out April 8, 2014. Her last book was a historical novel about the 1929 crash, Black Tuesday. Before that, she wrote the hard-hitting, acclaimed book, It Takes a Pillage: Behind the Bonuses, Bailouts, and Backroom Deals from Washington to Wall Street (Wiley, September, 2009/October 2010). She is also the author of Other People’s Money: The Corporate Mugging of America (The New Press, October 2004) which predicted the current financial crisis, and was chosen as a Best Book of 2004 by The Economist, Barron’s and The Library Journal, and Jacked (Polipoint Press, Sept. 2006).
She has appeared on numerous TV programs: internationally for BBC, RtTV, and nationally for CNN, CNBC, MSNBC, CSPAN, Democracy Now, Fox and PBS. She has been featured on hundreds of radio shows globally including for CNNRadio, Marketplace, NPR, BBC, and Canadian Programming. She has featured in numerous documentaries shot by international production companies, alongside prominent thought-leaders, and Nobel Prize winners.
Her writing has been featured in The New York Times, Fortune, Newsday, Mother Jones, The Daily Beast, Newsweek, Truthdig, The Guardian UK, The Nation, Alternet, NY Daily News, LaVanguardia, and other publications.
Her engaging key-note speeches are thoughtfully tailored, and she has spoken at venues including the Purdue University/Sinai Forum, University of Wisconsin Eau Claire Forum, Ohio State University Law School, Columbia University, Pepperdine Graudate School of Business, Environmental Grantmakers Association, NASS Spinal Surgeons Conference, and the Mexican Senate.
She is a member of Senator Bernie Sanders (I-Vt) Federal Reserve Reform Advisory Council, and listed as one of America’s TopWonks.
Nomi received her BS in Mathematics from SUNY Purchase, and MS in Statistics from New York University, where she completed all of the required coursework for a PhD in Statistics. Before becoming a journalist, Nomi worked on Wall Street as a managing director at Goldman Sachs, ran the international analytics group as a senior managing director at Bear Stearns in London, and worked as a strategist at Lehman Brothers and an analyst at the Chase Manhattan Bank.
She is currenty a Senior Fellow at the non-partisan public policy think-tank,
“I think it is likely (better than 50/50) that all previous deal records will be broken in the next year or two.” Jeremy Grantham, one of investment management’s few absolutely must-read investment strategists, is out with his latest essay in GMO LLC’s quarterly investor letter. In it, Grantham posits that we’re not quite in a stock market bubble but well on our way. At 2250 on the S&P 500, he’d be willing to sew on the Scarlet “B” and call it what it is. Grantham’s main point, however, is that the next few years should see a deal-making frenzy the likes of which we’ve never seen before, eclipsing the excesses of the previous two cycle peaks because capital is now cheaper and the economic cycle itself is still young enough, whereas by the M&A peaks of 2000 and 2007 it was already aged and tired…
The term “eating clean” has been popping up a lot in recent years. The trend might have been first identified in 1993, when Gerald Celente coined the term “clean foods” in an article written for The Trends Journal.
I didn’t make these calls because of what the charts were telling me, nor did I make assumptions because of the basic fundamentals of supply and demand. I made these calls because I took the time to understand the major events that are happening around the world. That is why I often write about things that may not appear, at first glance, to have anything to do with investing.
By now, you have read many reasons in my past letters on why to proceed with caution as the stock market climbs. That’s because there are always underlying events that could cause the market to break at anytime. This week, the focus is on one that could break the commodities/metals market. For years I have talked about the manipulation of gold and other metals. For years I have talked about how these hard assets are being used to create paper (artificial) assets with values which are exponentially compounded.
Last year’s annual report from the BIS made clear the institution’s skepticism toward its members’ policies – but this year’s really takes the ax to them. Published on June 29, the report is a remarkable document, which, at the least, will exonerate the BIS from responsibility for the next crash, but to which nobody will currently pay the slightest attention, as this week’s action in the equity markets amply demonstrated.