When Barack Obama swept into the White House in 2008, the American electorate was hoping for “change.”
A “change” in the way Republicans and Democrats interacted with one another, a “change” in how the US is perceived by the rest of the world, and a “change” in Washington’s notoriously poor foreign policy in the Mid-East.
Submitted by Christoph Gisiger via Finanz Und Wirtschaft,
Fred Hickey, editor of the widely read investment newsletter «The High-Tech Strategist», warns of more trouble to come for stocks and spots bright investment opportunities in the gold sector.
Having seen what monetary-policy failure looks like in Japan.. and in the US, we now turn our attention to the world. Amid NIRP temptations, growth fears, and faltering faith in central banker control, market-implied inflation expectations have collapsed to record lows. Worse still, even The Fed's own survey of consumer's inflation expectations has slumped to record lows.
Inflation expectations are collapsing... (US and Europe at record lows - worse than the lows in the middle of the last crisis)...
Tomorrow, John Kerry will meet Sergei Lavrov and several of his other counterparts from Europe and the Mid-East in Munich in a last ditch effort to revive Syrian peace talks, which fell apart amid an intense Russian air assault on rebel positions in Aleppo.
For the first time since 2007, the spread between 2Y and 10Y US treasury yields has to 100bps. While not inverted, which the status quo maintains means there cannot be a recession, the bond market is flashing ominous signs for both the economy and the US financial system...
The curve has collapsed since The Fed hiked rates...
And financials have begun to catch down to that reality...
Charts: Bloomberg