If you wanted more evidence that Central Banks will stop at nothing to induce inflation, consider that yesterday Bank of Japan stated that it will continue with its QE program and with negative rates for as long as it takes to achieve 2% inflation.
Mind you, Japan’s economy has just posted its SEVENTH straight quarter of growth, having exited its last recession at the beginning of 2016.
Content originally published at iBankCoin.com
Let's be clear. The American market for Bitcoin is an aspirational one; but the true volume is done in Asia. Instead of going through the trouble of setting up shell corporations to launder their money, the Chinese have been using crypto currencies, which was beautifully marketed as some sort of rebellious form of capitalism -- creating millions of bedroom billionaires.
All of that might be ending soon, thanks in part of President Trump.
Authored by MN Gordon via EconomicPrism.com,
Good cheer has arrived at precisely the perfect moment. You can really see it. Record stock prices, stout economic growth, and a GOP tax reform bill to boot. Has there ever been a more flawless week leading up to Christmas?
We can’t think of one off hand. And if we could, we wouldn’t let it detract from the present merriment. Like bellowing out the verses of Joy to the World at a Christmas Eve candlelight service, it sure feels magnificent – don’t it?
The latest confirmation that the US consumer is now effectively tapped out came moments ago when the Dept of Commerce reported that in November, Personal Income rose by a lower than expected 0.3% (exp. 0.4%), while US consumers continued to splurge at an accelerated rate, with personal spending rising 0.6%, above the 0.5% expected, as Americans decided to splurge on holiday products and services.
A way of visualizing the historical change in income, spending - and savings - is the next chart below:
Headline durable goods orders rose 1.3% in November (prelim), missing expectations of a 2.0% rise, but core durable goods fell in the preliminary November print - the worst drop since April.
Perhaps even more concerning is the 0.1% drop in capital goods new orders ex-aircraft and parts - i.e. business spending - this is the equal weakest print in 2017.