Tag Archive for: bond vigilante

Interest Rates Cannot Go Up Far, Or Hold for Long

Gold Exchange Report

Listen to the audio version of this article here. Consumer prices have been on a tear, since early last year. Right now, the Consumer Price Index (CPI) is rising at more than 8% per year. Source: St Louis Federal Reserve Conventional thinking calls for higher interest rates. It makes this call via two channels. One […]

The Crime of ‘33, Report 27 May

Last week, we wrote about the impossibility of China nuking the Treasury bond market. Really, this is not about China but mostly about the nature of the dollar and the structure of the monetary system. We showed that there are a whole host of problems with the idea of selling a trillion dollars of Treasurys: […]

The Lazy 1970’s vs. the Frenetic 2000’s

Inflation 1970's

To listen to the audio version of this article click here. Many people today see the Fed’s Quantitative Easing as money printing. They remember what happened in the 1970’s, and they instantly jump to conclusions. However, we live in a different world. To illustrate this, consider the following story about Joe, a promising and eager […]