Commodity Trade Mantra

Posts Tagged ‘Alan Greenspan’

Greenspan Warns Of Imminent Crisis, Urges A Return To Gold Standard

“If we went back on the gold standard & adhered to the structure of the gold standard as it exited prior to 1913, we’d be fine. Remember that the period 1870 – 1913 was one of the most aggressive periods economically that we’ve had in the U.S. & that was a golden period of the gold standard. I’m known as a gold bug & everyone laughs at me, but why do central banks own gold now?” – Alan Greenspan

Central Planners Freaking Out On Discussion on Role of Gold

Michael Hiltzik thinks “a return to the gold standard would be so not right that it’s not even wrong.” The truth is there are plenty of economists who question the stewardship and discretion of Congress, the president, and, especially, Federal Reserve bankers. Heck, even Alan Greenspan is criticizing the fed and talking about an important role for gold these days.

Why the Government Hates Gold - Who is left to speak the Truth?

Corporations sold their products on cheap credit, made their profits from cheap credit & then depended on cheap credit to issue their bonds, buy back their own stock & pay their bonuses. Meanwhile, Washington ran deficit after deficit, made possible by cheap credit. And now, practically every sentient being in the nation needs cheap credit. Who is left to speak the truth?

The Fed Admits Economy Can't Function Without Bubbles

Wild swings in asset prices over the past 20 years and the associated boom-bust cycles have sparked considerable debate about how monetary policy might play a stabilizing role. In other words, thanks to Alan Greenspan, the US economy cannot function under a normalized monetary policy regime, “roughly speaking.”

If Gold Is Not Money, Why Do Clearinghouses and Former Fed Chairs Say It Is?

Collateral is an underlying asset that is pledged when a party enters into a financial arrangement. Even Alan Greenspan, the man most responsible for the 2008 financial crisis, has admitted that “gold is money.” He couldn’t admit this until he’d left the Fed. But this is a man who knows all too well just how the financial system works.

Central Bankers Understand That Monetary Stimulus Is Not The Answer Only After Quitting

What is it about central bankers who wait to tell the truth only after they have quit their post? First it was the Fed’s Alan Greenspan. Now BoE’s former head, Mervyn King after having the biggest monetary stimulus & yet not solved the problem, says, “The idea that monetary stimulus after six years … is the answer doesn’t seem (right) to me.”

Gold And Silver – Is the Golden Rule Broken?

Why has the concerted effort to suppress gold and silver been so unopposed by China & Russia when either country could “stick it” to the West & collapse the “dollar” & Western central banks in a day? It may also be that China & Russia are assisting IMF as it is not in their best interest to see gold and silver “reset” dramatically higher.

Why Gold Should Rise And Exceed Previous Highs

Gold is actually going to rise faster than it fell. Normally markets take the stairs up and the elevator down. I think that gold is going to take a rocket ship back up. All the gold dumped out of ETFs is sitting in vaults in Russia and China & will never see the light of day again. So when the buyers want it back, the gold is not going to be there.

3 Things Central Banks Will Do to “Save the Economy”

Central bank activism, stimulating credit creation with artificially low interest rates, only works when people see little risk of default or rising rates. But that risk cannot be ignored forever. Rising rates come around sooner or later; often ferociously. When that happens, central banks lose their ability to coax stocks higher with lower rates.

The Fed Basically Still Uses LTCM’s Financial Models

According to Greenspan, the Fed expanded its balance sheet not to boost the economy or to keep inflation moving higher. It was because the Federal government had such large expenditures that it would have ‘crowded out’ private borrowers if the Fed had not increased the size of its balance sheet.

Price of Gold Will Rise - Greenspan

It’s not because former Fed Chair Alan Greenspan said he thinks the price of gold will rise – I don’t need his investment advice; it’s that he shed light on how the Fed works in ways no other former Fed Chair has ever dared to articulate. All investors should pay attention to this.

Why Is China Hoarding Gold? Alan Greenspan Explains

A return to the gold standard in any form is nowhere on anybody’s horizon. It has few supporters in today’s virtually universal embrace of fiat currencies & floating exchange rates. Yet gold has special properties that no other currency can claim. For more than two millennia, gold has had virtually unquestioned acceptance as payment.

A New Fed Playbook for the New Normal

The Fed knows very well that the economy needs zero% rates to stay afloat. So while the market talks the talk on raising rates, the Fed will continue to walk the walk of zero percent interest rates. Since none of the Fed’s prior QE programs were followed by rate hikes but by more QE, why should this time be any different?

Alan Greenspan's Nine Reasons "Why The Economy Stinks"

Alan Greenspan listed 9 specific reasons why the “economy stinks”, although surprisingly, nowhere did he mention the fact that the current and future economic disaster is all a direct result of his “great moderation” ruinous reign at helm of the Fed and its catastrophic monetary policies.

Gold Owners’ Guide to the Rest of 2014

Financial history teaches a fundamental lesson that into every economy – rain must fall. Economic planners make it seem that things are not bad & they hate gold because it reminds them of their potential for failure. Gold fits into this scheme of things as a gesture to humility — that we can neither predict the future nor govern it.

Janet Yellen: Where No Man Has Gone Before

Yellen has gone farther, disregarding guidance on all fixed thresholds (unemployment, inflation, etc) & claiming that she will keep stimulating as long as she believes that there is “slack” in the economy. Where that mythical level may be is open for interpretation, which is likely why she prefers it.

The Legacy of Ben Bernanke : A Weak and Mediocre Economy

If there was no pre-crisis credit boom, there would have been no large financial crisis and thus no need for Bernanke to have done better during and after. Bernanke’s policy is also rightly criticized as the great cost of these post-crisis policies is the intrusion of the Fed into politics and fiscal policy.

How to Be Your Own Central Bank

If we were to cobble together the advice from Mr. Mminele, Mr. Draghi and the ‘Nospeak’ implications from the Chinese, we can create a ‘how-to-manage’ your own portfolio manual just as central banks do.

The First Thing Yellen Should Do to Save America

To save America, Janet Yellen immediately upon being confirmed, should tell America and the world: “I am serving notice right here and now that the Federal Reserve will never again be the President’s or Congress’ piggybank.”

follow us

markets snapshot


Market Quotes are powered by Investing.com India

live commodity prices


Commodities are powered by Investing.com India

our latest tweets

follow us on facebook