Loading ...Be the Warren Buffett of gold=don’t sweat the zigs and the zags, Ziggy…”
Global Bubble Watch:
July 14 – Bloomberg (Enda Curran): “Central bankers readying to fight another economic downturn are tossing hand grenades rather than firing bazookas. Federal Reserve Chairman Jerome Powell and European Central Bank President Mario Draghi stand ready alongside many of their counterparts to cut interest rates to bolster the weakest growth in a decade and lackluster inflation. Yet they have little to work with and, perhaps more worryingly, what they do have lacks potency. Expansions and price growth are flagging despite the easy money already sloshing around and further stimulus may do little to offset the trade war. Structural obstacles such as rising debt burdens, digital disruption and aging populations also work against looser monetary policy. ‘There are limits on what further monetary easing can achieve,’ Reserve Bank of Australia Governor Philip Lowe said… ‘You still get benefit from it, but there are limits.’
July 14 – Bloomberg (Enda Curran): “A full-blown currency war where major central banks and governments, including the U.S., deliberately weaken their currencies can no longer be ruled out, Pacific Investment Management Co.’s global economic adviser Joachim Fels wrote… The view is in line with a rising chorus of Wall Street analysts who warn that President Donald Trump’s repeated complaints about the foreign exchange practices of key trading partners heightens the risk of U.S. intervention to weaken the dollar. Fels describes current conditions as a ‘cold currency war, round three’ that is at risk of escalating.”
http://creditbubblebulletin.blogspot.com/2019/07/weekly-commentary-living-life-near-zlb.html