On Monday, the Fed announced QE infinity and by mid-week, Congress had agreed on a $2 trillion stimulus package to battle the economic impacts of the coronavirus. That launched us into a bizarro world where a weekly record of over 3 million unemployment claims led to a huge stock market rally. As Mike Maharrey put it in this Week’s Friday Gold Wrap podcast, ladies and gentlemen, we’ve been stimulated. So, what exactly did the Fed do? What are the long-term ramifications? And can it work? Maharrey talks about all this and more in this week’s Gold Wrap.
It wasn’t long ago that all of the pundits were telling us that the economy was strong. As a result, a lot of people seem to think that once the coronavirus situation is resolved, the economy will quickly go back to normal. In his podcast Friday, Peter Schiff said that’s not going to happen. The coronavirus is actually going to reveal that the “great” economy was an illusion — a big, fat, ugly bubble that has now been popped.
It’s been another week of selloffs in the markets. It’s not just stocks. Everything is selling off. The only thing really gaining right now is the US dollar. Meanwhile, the government is promising bailouts for all. In this episode of the Friday Gold Wrap, host Mike Maharrey looks ahead at the possible ramifications of all this “stimulus” money. He also puts the recent drop in the price of gold into some historical perspective.
It appears we’ve pretty much reached complete panic mode.
The longest bull market in history came to an abrupt end on Wednesday. Wall Street followed up with another massive sell-off on Thursday. The S&P 500 had its worst day since Black Monday in 1987. Even gold was down. Meanwhile, the Fed tried to stem the tide, announcing a new round of quantitative easing. But the tide wasn’t stemmed. In this episode of the Friday Gold Wrap podcast, host Mike Maharrey gives an overview of the week’s events and talks about the elephant in the room.
The 11-year bull run is over.
After a rebound on Tuesday based on hopes of government fiscal stimulus, US stock markets plunged again Wednesday and officially moved into bear territory.
Last week, we told you about the rising level of subprime auto loan delinquencies. Well, there is a similar thing happening in the subprime credit card market.
Is this the proverbial canary in a coal mine?
While impeachment proceedings kicked off at home President Trump was in Davos, Switzerland, talking up the US economy. He called it the best economy in American history. Is it though? In this episode of the Friday Gold Wrap podcast, host Mike Maharrey talks about the economy, what’s really driving it, and why this might be a good time to think about gold.
Are consumers getting close to the end of their road of debt?
There are some indications that they might be and that’s not good news for an economy built on consumers spending money they don’t have.
Gold had a pretty good run in 2019. In fact, it was the best year for the yellow metal in nearly a decade. So what’s in the cards as we rush headlong into the 2020’s? In this episode of the Friday Gold Wrap podcast, host Mike Maharrey looks back at 2019 and highlights some of the things that drove precious metals markets. Then he pivots and looks ahead at 2020 and beyond. Where are we going and what will get us there?
If something cannot go on forever, it will stop.
This seems self-evident, but as Jim Rickards noted in a recent article about the ever-growing levels of debt, people tend to ignore this indisputable truth.
Total global debt reached a record of over $250 trillion in the first half of 2019, according to an Institute of International Finance report published in November. Global debt surged by $7.5 trillion through the first half of the year. “With no sign of a slowdown, we expect the global debt load to exceed $255 trillion in 2019, largely driven by the US and China.”
