The Relentless Road to Recession Continued

Consider this a travelogue in pictures (graphs and charts really) that presents a rather striking and comprehensive image of a nation journeying into recession. Our decline is steeper now than it was even in my retelling of economic turns during the summer and early fall. While the stock market has […]

The Squeeze on Banks is Back Even with QE4ever

It’s no longer just me using terms like “Armageddon, crisis, devastating, chaos, Great Depression;” it’s leaders of the world’s most august and conservative central banks! The big banking squeeze that began in September never went away. In fact, repo auctions last week looked worse than ever, in spite of the […]

Quick Recap of the Fed’s Foundering Follies

(Original article at http://thegreatrecession.info/blog/quick-recap-of-the-feds-madcap-madness/ As September rolled into October, the US central bank’s monetary madness blew all over us like a fountain of foam in a windstorm. First, the Fed burst into $75 billion in overnight funding operations due to obvious shortages all over the map in bank reserves. Then […]

QE4ever Arrives in One Quantifiable Quantum Leap!

It’s QE4ever, Baby! The Fed’s latest move back into quantitative easing took a quantum leap in a single day with last week’s rush announcement of major permanent money injections to begin this Tuesday. Since the Fed adamantly denies it is doing what it is doing — going back to quantitative […]

The Relentless Road to Recession

“Show me the data,” demand those who cannot see a recession forming all around them and who keep parroting what they are told about the economy being strong because it is what they want to believe; yet, the data look like an endless march through a long summer down the […]

Central Bankers Now Plotting Government Subversion?

Two weeks ago a former Federal Reserve board member and bank president, William Dudley, wrote an editorial that encouraged the Fed use its powers to defeat Donald Trump’s second bid for the US presidency. I don’t recall choosing presidents as being listed in the Fed’s two mandates — controlling inflation […]

It’s Been a Great Recession for a Few; Let’s Do it All Again!

This month the economic expansion brought to you by your Federal Reserve and by US government largess becomes the longest expansion in the history of the United States! That’s something, right? Something? Let’s take an honest look at what we now call great. By “the longest expansion” we mean the […]

Market Mania Bets the Cash Registers Go Xi Ching!

The S&P 500 is up 18% and powering toward its biggest first half since 1997. For bulls, things are great. Will they get any better? To a handful of cross-asset strategists who turned skeptical on stocks before this week’s manic sessions, that’s becoming the most pressing question. Increasingly, their answer is: not […]

Is the Fed Dead?

The US deficit this year is already over three-quarters of a trillion dollars, putting the first eight months of the fiscal year almost equal with the entire past fiscal year. It is also $200 billion above the previous record for this portion of the year, and this May’s deficit alone […]

Hopium Floats. How The Market Got High on Friday

So much for the trade war being “good and easy to win.” Let’s be honest. Trump has been grinding away on it for almost a year now, and China has barely flinched in its negotiations. On Friday the tariff war became personal because it will now tap your own budget […]

Two Down, One to Go, and the Fed is Stuck

My most important economic predictions have come in rock solid By David Haggith at http://thegreatrecession.info/blog/2018-2019-economic-predictions/ Two of my biggest and longest-term predictions for 2018 and 2019 proved resoundingly true this week, and my sole prediction for this year — a prediction of recession bolder than anyone else’s — moved a […]

Socialist Revolution: The Price Capitalism Pays When Greed Goes Unrestrained

Socialism is the price Capitalism pays for unrestrained and unpunished greed, and Alexandria Ocasio-Cortez is the new face of Socialism in America. AOC refers to her Socialist revolution — for now wrapped up in the Green New Deal before congress — as the “politics of optimism,” and so it is. […]

US Budget Deficit and Interest Take Trip to the Moon

In my first Premium Post back in January, “2019 Economic Headwinds Look Like Storm of the Century,” I laid out sixteen major headwinds that would be howling against the economy this year. One of those was the government debt, which I said was about to skyrocket: If you thought the […]

Housing Market Crash 2.0: The Jury is in for 2018-2019

As happened with the first housing market crash that began in 2007 but didn’t become widely recognized until mid-2008, the present housing crisis began exploding one story at a time last summer, and this blog was perhaps the first to state that summer’s change was the turning point from decades […]

The Fed’s Failure is a Fait Accompli!

Exactly as This Blog Said it Would be! Here is a single chart that proves how completely the Fed’s end-game for its recovery failed, which means the fake recovery, itself, is failing. It’s not hard to figure out what happened here. Talk about a euphoric rise at the end of […]

A Winter Tale of Snow to Remember

I wrote months ago about the coming mini ice age. Recently the reality of this cooling trend became mainstream news because of a new scientific study affirming it, and even more recently, the midwest decided to remind us of what mini ice ages might feel like. The reason for all […]

The Great Recovery Rewind

The Great Recovery Rewind: How the Federal Reserve’s Balance-Sheet Unwind is Unwinding Recovery We are in the end time of an unprecedented era of financial expansion — the greatest expansion of the world’s money supply ever attempted, expansion of the Federal Reserve’s vast and unchecked powers far beyond what the […]

Federal Reserve Confesses Sole Responsibility for All Recessions

Responsibility for All Recessions In a surprisingly candid admission, two former Federal Reserve chairs have stated that the Federal Reserve alone is responsible for creating all recessions in the United States. First, former Fed Chair Ben Bernanke said that Expansions don’t die of old age. They get murdered.  MarketWatch   […]

Up, Down, Done!

The market’s last chaotic day closed in a way that befit the entire year. Up, down, up harder, down harder, and done! It looked like the violence of the day may have come from the Plunge Protection Team attempting to push the market up in the middle of the afternoon, […]

Beware the Bear’s Bull Traps!

http://thegreatrecession.info/blog/beware-the-bears-bull-traps/ So, the bull market bounced back, right? Not so fast. When one appreciated reader suggested there would be a huge plunge the day after Christmas, given how badly the market plummeted the day before Christmas, I cautioned against that tempting thought. Herein are some warnings about bull traps in […]