”The move is inconsequential. The harsh realities have not changed in the slightest, and the dollar is set to continue its overall decline.” — John Browne, Euro Pacific Capital
by John Browne
Baltimore – (TFN): This week, we were treated to strong statements by both Treasury Secretary Henry Paulson and [...]
by John Browne
Baltimore — (TFN): As the economic indicators turn down and election year politics heats up, the calls from politicians for more government intervention and enhanced economic stimulus are becoming more strident. Last week, with the onset of the general presidential campaign, and with increased attention on the economy shown by the Bush administration, [...]
Baltimore — (TFN): Ever since Robert Rubin began the tradition in the mid-1990s, it has been a significant element of the Treasury Secretary’s job description to continuously state that a strong dollar is in the national interest. It is widely regarded that such utterances, if repeated often enough, can constitute the sum total of what [...]
by John Browne
Baltimore — (TFN): This week I watched Fed Chairman Ben Bernanke charm the rain-soaked graduating class of Harvard, my Alma Mater. As he spoke, I was reminded of an anecdote involving President Franklin D. Roosevelt during the commencement speech he gave at Harvard in 1936: Amidst a similar downpour, he said, “Well, Harvard [...]
by Peter Schiff
I have been buying gold and gold stocks for myself and my clients since 1999 and not once did I buy out of fear. In fact, from my perspective, the only fear I’ve observed in the gold market is from those who have been too afraid to buy.
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by John Browne
“Although it is standard procedure for governments to soothe their citizenry with placebo politics to avoid panic and uprising, there is a line after which such a campaign is counterproductive. In fact, misleading statements about financial security are potentially dangerous to the country’s long-term economic well being, and potentially toxic to investors.”
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by Peter Schiff
Baltimore — (TFN): It’s unfortunate that the Supreme Court, ruling that U.S. currency is unfair to the blind, did not make the next logical step and declare it unfair to everyone who buys gasoline.
In their search for explanations as to why oil has surged past $130 per barrel, Washington, Wall Street, and the [...]
Baltimore — (TFN): As China grapples with the consequences of its devastating earthquake, it is finally confronting the destabilizing forces bubbling up beneath its economic landscape. This week, several key Chinese officials, usually not known for their candor, conspicuously noted the need to both stimulate domestic consumer spending and bring down roaring inflation. While at [...]
by Peter Schiff
Baltimore — (TFN): For those holding out hope that the American economy can miraculously avoid a long and deep recession, consumer credit is often viewed as the wonder drug that can cure all manner of economic ills. As such, this week’s report showing $15 billion growth in consumer credit was widely heralded as [...]
by John Browne, Senior Market Strategist Euro Pacific Capital
Baltimore — (TFN): Last week, food shortage became an American reality. Costco, Wal-Mart and other food stores limited the purchase of certain food staples in bulk form. Purchases of rice in California and of oil and flour in Queens were restricted. Customers were angry, voicing strong concern [...]
“Colleges and universities would simply be forced to offer affordable tuitions or go out of business—just the way they used to back in my father’s day. Similarly, if the government allowed real estate prices to collapse, Americans would not have to take on so much debt to buy houses.”
—Peter Schiff
by Peter Schiff
Baltimore — (TFN): Those [...]
By John Browne, Euro Pacific Capital - Senior Market Advisor
Baltimore — (TFN): Last week, General Electric — one of the finest companies in the world and an American icon — announced a major fall in earnings. Amazingly, the bad news surprised Wall Street. GE shares fell 13 percent in a single day. Some surprise!
GE is [...]
“Although Bernanke may have spent much time studying the Great Depression, his understanding of it is anything but sound. That epic “slowdown” resulted from a series of policy mistakes, first by the Federal Reserve and then by the Federal Government. Bernanke believes these mistakes were simply not large enough.” — Peter [...]
by Peter Schiff
Baltimore — (TFN): Those blindsided by the recent financial meltdown are now loudly blaming the free market for its failure to police its own excesses, and are calling for greater regulation to prevent future disasters.
But for those who clearly observed the problems developing (in high-definition slow motion), the blame can be directed squarely [...]
by John Browne
Baltimore — (TFN): On March 31, Treasury Secretary Hank Paulson announced the laying of the government’s foundation stone for the next big financial bubble, heralding an era of hyperinflation and probable further runs on the U.S. dollar.
Of course, like most politics, there is usually a good reason and a real reason for actions. [...]
"There is little doubt that the vast amounts of cheap, U.S.-dollar liquidity pumped into both American and international economies by the U.S. Federal Reserve Board(particularly under former Fed Chairman Alan Greenspan averted some naturally occurring and corrective recessions and led to a series of unprecedented asset booms. The mistake was in thinking that this virtual [...]
by Peter Schiff
Baltimore — (TFN): Prior to my last appearance on CNBC in October 2007, I had made more than 50 appearances on the network over the prior two years. In those segments, I repeatedly exposed the superficiality of our prosperity, described the American economy as a “house of cards”, pointed out that borrowing and [...]
by Peter Schiff
Baltimore — (TFN): Unfortunately one of the few things still made in America is inflation. In fact, it now ranks as our greatest export. A significant by-product of the current global economic system, wherein Americans spend money they do not earn to buy foreign products that they do not make, [...]
By Peter Schiff
Baltimore — (TFN): In the face of US recession, economic stimulus packages have become quite the rage.
Despite the fact that the Fed still believes that a recession is unlikely to occur, Bernanke & Co. followed up on last week’s emergency 75 basis point rate cut with a 50 basis point kicker on Wednesday. [...]
"Gold is not in a bubble market: The Fed is sending the message that inflation is going to get a whole lot worse and that it couldn’t care less. As the price of gold continues to climb as a result, look for more excuses to minimize the significance of the move." — Peter Schiff
by Peter [...]