Business

Doug Casey On The Coming Financial Crisis: "It's A Gigantic Accident Waiting To Happen"

Tyler Durden

Fri, 12/29/2017 - 21:45

Authored by MN Gordon via The Economic Prism blog,

The New Year’s nearly here.  The slate’s been wiped clean.  New hopes, new dreams, and new fantasies, are all within reach.  Today’s the day to make a double fisted grab for them.

Without question, 2018 will be the year that everything happens exactly as it should.  Some things you’ll be able to control.  Other things will be well beyond your control.

Ugly end...

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But on the year, the dollar tanked (worst since 2003), stocks and bonds (the long-end) soared higher, commodities rebounded dramatically, cryptocurrencies exploded, and gold had its best year since 2010 as VIX saw its lowest average in history...

and all that driven by the biggest increase in central bank balance sheets since 2011... anyone else feel like this... (our estimate is we are at around the 30 second mark currently)

From the "Yellen Call" to "globalization" and from "disruption" to "dumping", 2017 had it all and Goldman Sachs' annual 'themes'-driven crossword is just the ticket as the final few minutes of the trading year tick away...

Via Goldman Sachs,

Across Clues:

Down Clues:

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The Answer (don't cheat!) - click image for legible version

After tumbling in early December, gold has exploded higher since The Fed hiked rates on 12/13, hitting $1310 today - the highest since Oct 16th.

And as Gold has soared so the dollar index has collapsed...

Interestingly in the last month, Gold and Bitcoin have seen a wild ride - converging again today...

As Reuters reports, the dollar’s drop to three-month lows versus a basket of currencies on Friday lifted gold to its highest since mid October.

Putting the year's relative performance in context...