aerial photography houses

Dave Ramsey is wrong about housing

The financial coach Dave Ramsey has helped numerous individuals improve their finances and get out of debt. However, in a recent rant, Dave Ramsey said that housing is not going to go down because of “supply and demand”, showing that even individuals well versed in finance can miss the macroeconomic environment and say things that…Read More

rock balancing on wooden post near body of water

Contagion Tracker 2022-23

In response to the pandemic in 2020, central banks around the world added large amounts of liquidity to the financial system in an attempt to soften the economic fall out of lockdowns and a slower economy. Additional credit at a time when the supply of goods and services was constrained led to high inflation and…Read More

Spurious Correlation CPI Fractal

There is no doubt that commodity prices and overall inflation have soared since the Coronavirus lockdowns in 2020. A combination of base effects, quantitative easing, an exodus from cities and supply chain disruptions have lead to massive year on year changes in CPI. The included image is an overlay of CPI from 2001 to 2014…Read More

gold and black round coin

Fractional Reserve Bitcoin?

The past year has certainly seen more financial institutions adopt Bitcoin as a reserve asset, either for themselves or for their clients. Several news outlets have reported that BNY Mellon will hold, transfer, and issue Bitcoin on behalf of its clients. The use of the word issue raises the question as to whether they will…Read More

blue and red wall graffiti

Did Obama Create The 1%?

While the political left may have been the most critical voice of the wealth inequality, ironically it may have been a combination of the government and Federal reserve under a Democratic presidency that oversaw the creation of the so-called “1%”. Quantitative Easing inflates financial asset prices while causing stagnation and growing debt levels in the…Read More

The Fed Confirms QE Lowers Liquidity

In a recent talk, Portfolio Manager Steven Van Metre points out that contrary to public opinion, QE doesn’t “flood the system with liquidity”, but actually withdrawals liquidity from the Petro-Euro Dollar system. The irony of this is, that the Federal Reserve themselves published an article in 2014 confirming this to be the case: