Transfer of Wealth
- Written by Puru Saxena
- Monday, 22 June 2009
TRANSFER OF WEALTH
There can be no doubt that the global economy is undergoing a massive transformation and we have now entered an era of ‘Big Government’.
After decades of excess credit and over-consumption, the developed world is finally being forced to deal with private-sector deleveraging. However, the governments seem to have other plans and they’ve decided to fight these deflationary forces tooth and nail. Their solution – even more credit and even more consumption!
Add a commentTime For A Holiday?
- Written by Puru Saxena
- Thursday, 11 June 2009
TIME FOR A HOLIDAY?
The below ‘Weekly Update’ was sent out to subscribers on 8 June 2009
Global markets are overbought and due for either a correction or consolidation. We're now in the seasonally bad time of the year and the best outcome here would be a mild correction. From a sentiment perspective, most investors have factored in the 'green shoots' and they've positioned themselves for a near-term economic recovery. For sure, certain economic data is pointing towards some improvement, however (so far) nothing has been done to help the distressed homeowners. The West is dealing with a massive debt overhang and policymakers are only transferring private-sector liabilities to the state. Add a comment
TREND REVERSAL?
- Written by Puru Saxena
- Tuesday, 26 May 2009
The below ‘Weekly Update’ was sent out to subscribers on Friday, 22 May 2009
MONEY & BREAD!
- Written by Puru Saxena
- Monday, 23 March 2009
The cat is out of the bag. The Federal Reserve is waging an all-out inflationary war on the economic contraction. Two days ago, Mr. Bernanke announced that the Federal Reserve would buy US$300 billion worth of US Treasuries and another US$700 billion worth of government-agency mortgage debt. In order to finance these purchases, the Federal Reserve would simply create this money out of thin air.
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