It’s somewhat understandable - but highly regrettable - that Venezuela is parting with its gold so readily in the midst of this economic turmoil. Gold has traditionally been a source of security for countries looking to hedge against currency volatility; and heaven knows Venezuela has had more than its share of that. The bottom line? They’re giving up the only security they have left.
Read More »China’s Economic Slowdown: A Timeline Of How it Has Unfolded
The following timeline of developments in China since last summer’s equity market crash should be a handy tool for businesses around the world trying to figure out what’s next.
Read More »Bonds Are Pricing In Armageddon; Stocks Are Pricing In a New Golden Age For the American Economy – What Gives?
The economy and, more importantly, inflation really need to tank hard to justify current bond prices and economic growth, and earnings really need to soar to truly justify current stock market valuations. It's not hard to imagine a scenario in which both could be very wrong.
Read More »Gold/Copper Price Ratio Is A Clear Sign of a Slowing, Weakening Global Economy (+2K Views)
The Gold/Copper price ratio is a way to examine the state of the economy through the relative performance of the "pro-growth" copper price and the "anti-growth" gold price. This filters out the distorting effect of currency inflation/deflation, and allows us to focus only on gold and copper themselves. In 2016 we have a historically high Gold/Copper ratio, the likes of which we have only seen before in the Great Depression, the "stagflation" of the 1970s, and the 2008 Great Recession. This is a clear sign of a slowing, weakening global economy. Below are the details.
Read More »Greenspan Warns We’re In the “early days of a crisis” – Here’s Why
Alan Greenspan, the former Chairman of the Federal Reserve has warned that Brexit was a “terrible outcome in all respects” and that we are in the “early days of a crisis.”
Read More »Brexit To Have Major Global Economic Repercussions – Here are 6
Brexit is a return to inefficiency and trade wars and will spike inflation throughout the whole world. It will trigger a rise in unemployment mainly in Europe, but will also hurt the rest of the world through contagion. [Let me explain further.]
Read More »Could Brexit Be the Beginning of a Brave New World?
Brexit could be the beginning of a brave new world, in which trade becomes freer and business becomes less burdened by taxes and regulations. The only politician here who is talking about such "radical" ideas is Trump, but he is gaining traction, as did the "leavers" in the UK. There is room for hope.
Read More »Is Brexit the First of Many Dominoes?
Might Brexit be just the tip of the iceberg in terms of long-run consequences as it gives vital ammunition to groups that are seeking their own referendums for independence?
Read More »Outsourcing: Everything You Need To Know But Were Afraid To Ask
Below is an infographic illustrating the outsourcing industry in the U.S. that provides everything you need to know but were afraid to ask.
Read More »The Misery Index Says These Countries Are the Most Miserable In The World (Almost 2K Views)
Every year, the Cato Institute publishes a list of the world’s most “miserable countries” by using a simple economic formula to calculate the scores. Described as a Misery Index, the tally for each country can be found by adding the unemployment rate, inflation, and lending rate together, and then subtracting the change in real GDP per capita. The infographic below visualizes the 10 "most miserable" countries in the world.
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