Every Bubble Is In Search Of A Pin

Now that the world’s central banking cartel is taking a long-overdue pause from printing money and handing it to the wealthy elite, the collection of asset price bubbles nested within the Everything Bubble are starting to burst. The cartel (especially the ECB and the Fed) is hoping it can gently deflate these bubbles it created,…

Cue The Bad

When the FOMC published the minutes for their November policy meeting, they included an unusually lengthy discussion about federal funds (effective) and IOER. I have no doubt that policymakers would rather have skipped the topic altogether. Demonstrating how little they actually control matters, the plight of EFF has forced them into an almost detailed digression.…

Will Santa Leave A Lump Of Coal?

As we enter the last month of the year, the holiday season is kicking into full gear, decorations are popping up everywhere, and the burning question arises, “Will Santa Claus bring gifts for stock market investors, or will he leave a lump of coal in their stockings?” It was a bumpy sleigh ride last month,…

This Week In Money – December 1, 2018

Ross Clark – Crude oil’s decline, interest rates, gold. Rick Ackerman – China/US Trade, G20, interest rates and the car business. James Corbett – Japan, China, steel quality. Larry Reaugh President & CEO of American Manganese Inc. Jared Lazerson President & CEO of MGX Minerals Produced by HoweStreet.com

Dollar: Range-Bound Or Trending?

The US dollar had a good week, appreciating against all the major currencies but the Swiss franc, and most emerging market currencies, with a couple of notable exceptions, including the Turkish lira and the South African rand. However, the dollar’s gains seemed to be more a function of negative developments abroad rather than positive developments…

Weekly Municipal Bond CEF Trades: This Fund Is A Very Good Combination Of High Distribution Rate On NAV And Discount

Introduction Closed-end funds do not seem like the best place to be for active traders, at least on paper. However, these products have been our bread and butter for a while now, and as long as we are capable of detecting opportunities and successfully acting on them, we intend to keep on rolling. Active followers…

Market Volatility Bulletin: This Ain’t Over Yet

Market Intro CNBC, 10:34AM EST US stocks (SPY, DIA, QQQ, IWM) seesawed on Friday, dipping significantly as the morning session drew to a close, only to wrap up near the S&P’s high point of the day. Friday should serve as an important reminder that intraday volatility is still very much with us, even if markets…

Looking For Yield In All The Wrong Places

Late last year, fresh off the Christmas euphoria we identified Vanguard Extended Duration Treasury ETF (EDV) as a prime candidate to short for a normalization of yields. A screenshot from that article is presented below. Source: Bonds, Just Bonds Back then our simple recommendation was to trim and not extend duration risk. With the 30-year…

What Happened To Treasurys On Wednesday?

A couple of weeks back, I wrote something for this platform called “The Bond Selloff That Nobody Noticed”. That was a recap of events that transpired during the week of September 17, when yields rose on what looked like a combination of rising inflation expectations and the term premium trade. One of the oddities of…

The Prospects For Emerging Markets

Key points We see room for a further recovery in emerging market (EM) assets, particularly equities, after an unexpectedly prolonged selloff. The Fed raised rates last week, and Italy released a draft budget that was more expansionary than expected. Brent crude hit a four-year high. Polls suggest Brazil’s election on Sunday will result in a…