Category Archives: Economics

#MacroView: Japan, The Fed, & The Limits Of QE

Written by Lance Roberts | Feb 21, 2020

The Fed recognizes ongoing monetary interventions have created financial risks in the terms of asset bubbles across multiple asset classes. They are also aware the majority of policy tools are likely ineffective at mitigating financial risks in the future. This leaves them dependent on expanding their balance sheet which may not be as effective as they hope. 

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#MacroView: Debt, Deficits & The Path To MMT.

Written by Lance Roberts | Feb 14, 2020

President Trump just proposed his latest $4.8 Trillion budget, and not surprisingly, suggests the deficit will actually decrease over the next 10-years. But this lack of a “story,” is what has led us to the very doorstep of “Modern Monetary Theory,” or “MMT.” 

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Will The Corona Virus Trigger A Recession?

Written by Patrick Hill | Feb 14, 2020

The consider the compounding effect of the Corona Virus to disrupt both demand and supply, the social chaos in China challenging government authority, and a lingering trade war – these factors all make a decline into a recession a real and growing possibility.

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Falling Oil Prices An Economic Warning Sign

Written by Lance Roberts | Feb 13, 2020

There is an old axiom which states that if you repeat a falsehood long enough, it will eventually be accepted as fact.Low oil prices equating to stronger economic growth is one of those falsehoods.

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SOTM 2020: State Of The Markets

Written by Lance Roberts | Feb 6, 2020

In the President’s “State of the Union Address” on Tuesday, he used the podium to talk up the achievements in the economy and the markets. However, it is the claim of record high stock prices which undermines the rest of the story. Let me explain.

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Yes, Rates Are Still Going To Zero

Written by Lance Roberts | Jan 23, 2020

“If the U.S. economy entered a recession soon and interest rates fell in line with levels seen during the moderate recessions of…

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Can Six Myths Keep The Market Going?

Written by Patrick Hill | Jan 8, 2020

With over $17 trillion of negative debt worldwide to keep the world economy going, central banks have succeeded in sustaining worldwide GDP at 1 – 2 % and falling as of late! For the SPX market to not descend into the Blow Off phase, investors will need to continue to believe in six economic myths:

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