Investors: You May Want to Take Heed of the Current Relationship Between the Monthly 10/20 SMAs

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Mrs. Clinton and Mr. Trump

Mrs. Clinton release those bank speeches along with those other transcripts of speeches from 2014 to the first quarter of 2015 in which you earned $11,000,000 for 51 talks. Mr. Trump release your tax returns for the past ten years.

Have a Bullish/Bearish Weekend!

Negative Interest Rate Policy : You Lose!

45% of Americans Pay "NO INCOME TAXES"

According to the Tax Policy Center, which is a joint project with the Urban Institute and Brookings Institute, approximately 77.5 million individuals will pay no federal individual income tax for the 2015 tax year. I don't know about you, but I believe everyone should have some skin in the game, even if it is nothing more than $5. Saying that, I am a strong proponent of the Fair Tax.  

Justice Scalia from the Grave

Cashless Society: Main Street Loses Again!

Monopoly Game Goes "Cashless"

The game company is preparing our children for a "cashless society." Most young adults today are already in a cashless environment with the use of their debit cards. A cashless society is closer than most of us realize. 

We will soon see the end of the $100 note and probably the $50 note in support of the removal of the 500 Euro note.  We went from $10,000 bill to $100 bill without even a whisper from society.
Thought for the day: "You may want to consider swapping your $50 and $100 notes for $20 notes while you still can."

What Now, DJIA?

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Abject Failure of Quantitative Easing, Now Negative Interest Rates

What do we have after "637 interest rate cuts and $12.7 trillion in Quantitative Easing by Central Bankers of the world for the past eight years?"  Weak economic growth and investors starting to rebel against all this quantitative easing.  In other words, absolutely nothing!  Now, these same Central Bankers want to institute a world-wide monetary policy of "negative interest rates."  That is, you deposit $100 in your bank account and after one year, your bank gives you back $98.  What? Yes, you read that correctly.  See, all those QEs have not stipulated consumption spending or business investment. So, these Central Bankers want to try the next great monetary experiment with "negative interest rates." What is their rationale?  Well, if you are not earning any interest on those deposits, you will spend those deposits, which will stimulate the economy through personal consumption expenditures.  No, it will not stimulate the world economies, because individuals and firms will perceive a "NIRP" as another round of abject monetary failure by Central Bankers.

According to Bank of America, this has been the results of all this Central Bank quantitative easing:

1. 637 interest rate cuts over the past eight years
2. $12.3 trillion of asset purchases by global central banks in the past 8 years
3. $8.3 trillon of global government debt currently yielding 0% or less
4. 489 million people currently living in countries with official negative rates policies (i.e. Japan, Eurozone, Switzerland, Sweden, Denmark)-0.92%, the most negative yield in the world (2-year Swiss government bond).

Wholesale Inventories to Sales

At 1.32x, the December 2015 “Wholesale Inventories/Sales Ratio” is drastically higher than at year-end 2014 and is back at levels that have always coincided with recessions. But, I am sure that it will be different this time, right?

Understanding Basic Economics

Wall Street vs. Main Street

“The new law of business evolution in corporate America seems to be survival of the un-fittest.” Gordon Gekko

Sunday Humor: What Must the Rest of the World Think?

Bear Awakens?

$INDU: Update on 15/40 Exponential Moving Average Strategy

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Is Deutsche Bank the New Lehman Brothers?

Are we seeing a replay of 2008 when Lehman Brothers went bankrupt?  The rumor has it that Deutsche Bank is going bankrupt. We are not talking Greece here. We are talking Germany. Germany has held Europe together. Therefore, a collaspe of Deutsche Bank would have dire economic and financial ramifications for not only Europe but the entire global financial community. Maybe this is why the Fed did not increase interest rates last week. 

Fed's Wealth Creation Advertising Campaign for "Main Street"

By the way, this is the same advertising campaign that the Federal Reserve used in 2000/01 and 2007/08 to increase the wealth effect of those of us on Main Street. How well did that work out?

If You Thought August was Scary, You Haven't Seen Anything, Yet!

Mark Spitznagel is CIO for Universa Investments, which is a hedge fund. He is definitely an "Austrian Economist" directly aligned with Ludwig von Mises and Fredrich Hayek.  As you can tell, I am definitely a strong proponent of the Austrian School of Economics. For more information about Austrian Economics, click on Mises Institute.

I Know I am Preaching to the Choir -- But This is Not Going to End Well!

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