Tag Archives: federal reserve

This Inflation Script Won’t Last

The Shiller’s cyclically adjusted price-to-earnings (CAPE) ratio for the S&P 500 is currently 34.66. This is representative of a stock market that has lost all touch with reality. It even exceeds the 31.48 CAPE ratio hit in 1929, just before the stock market crashed and the onset of the Great Depression. Continue reading

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What You Must Know About Interest Rates

The buzz has faded away. The intoxicating effects of the mass money printing and debt binge during the coronavirus years has come and gone. But the hangover remains. And while the money printing has subsided – for now – the debt binge has continued. Continue reading

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Policies of Disaster

The world we’ve entered – a world of rising interest rates – is an unfamiliar place. Americans haven’t experienced it in over four decades. But, nonetheless, it is part of the long term, secular movement of the credit cycle. To understand what’s going on, all you need to do is look to the past and key in on several critical inflection points. Continue reading

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Perpetual Motion Machine Finance

Using debt to pay the interest on debt, like some sort of perpetual motion machine, is a dead-end street. Yet this is precisely the direction Washington is taking America’s finances. And no one in Congress can stop it. Continue reading

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