Tag Archives: interest rates

The Federal Reserve, Interest Rates and Triffin’s Paradox

One result of the global dependence on central bank interventions is a unhealthy fixation on the slightest changes in those interventions, oops I meant policies. Since the slightest pull-back in central bank inflation of asset bubbles could spell doom for the … Continue reading

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Global Markets to Fed: No Rate Hike, the Strong Dollar Is Killing Us

There are many reasons for global markets to melt down, but one that doesn’t get enough attention is the strong dollar. In effect, global markets are telling the Federal Reserve: don’t raise rates–the strong dollar is killing us. Here’s the … Continue reading

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Rates Don’t Matter–Liquidity Matters

The cure for systemic fragility is not low interest rates forever–it’s a market that transparently prices credit and risk for lenders and borrowers, qualified and marginal alike. One of the most unquestioned narratives out there is that the Federal Reserve … Continue reading

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The Next Global Meltdown Is Baked In: Connecting the Dots Between Oil, Debt, Interest Rates and Risk

The bottom line is the Fed can only keep the machine duct-taped together by suppressing the market’s pricing of risk. One of the Grand Narratives of our era is the substitution of debt for income: as earned income and disposable income … Continue reading

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It’s Time to Ditch the Consumer Price Index (CPI)

So why does the government maintain such a transparently inaccurate and misleading metric? For three reasons. That the official rate of inflation doesn’t reflect reality is obvious to anyone paying college tuition and healthcare out of pocket. The debate over the … Continue reading

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