Saturday, September 25, 2021

Does anyone honestly believe that inflation is ‘transitory’ anymore?


by Simon Black, Sovereign Man:

In the early summer of 1514, Spanish conquistador Ponce de Leon returned home to the court of King Ferdinand as a hero.

De Leon was among the first of Spain’s conquistadors to discover gold– right here in Puerto Rico. And that was enough for him to be knighted and bestowed all sorts of royal honors.

By that time, Europe had been suffering a shortage of gold and silver for nearly a century; mines and mints had closed down all across the continent, triggering what economic historians call ‘The Great Bullion Famine’ in the mid 1400s.

BLAST OFF? Gold & Silver SURGE As Latest Fed Meeting Concludes

from Silver Doctors:

Will Powell be able to “talk down” the metals and calm the jittery nerves of stock market participants?

(by Half Dollar) Yes, that was a trick question.

Regardless, the Fed has just concluded its most recent 2-day FOMC meeting.

The Fed has kept rates are their current levels, to nobody’s surprise, as has been to nobody’s surprise:

What’s Really Going On in China

by Charles Hugh Smith, Of Two Minds:

Losses will be taken and sacrifices enforced on those who don’t understand the Chinese state will no longer absorb the losses of speculative excess.

Let’s start by stipulating that no one outside President Xi’s inner circle really knows what’s going on in China, and so my comments here are systemic observations, not claims of insider knowledge.

Many western observers have noted the centrality of Marxist-Leninist-Maoist doctrine in President Xi’s writings. This is somewhat akin to invoking America’s Founding Fathers to support one’s current policies: if you’re trying to modify state policy in China, you have to explain it in the context of the Chinese Communist Party’s history and doctrines. Never mind if the ideals were not met; what’s important is establishing continuity and resonance with the history of China, the core doctrines of Chinese Communism and the CCP’s leadership based on those doctrines.

$1 Trillion Coins Instead of More Federal Debt?!

by Stefan Gleason, Money Metals:

Credit risk out of China and debt ceiling drama in Washington are driving precious metals markets this week. Gold and silver attracted some significant safe-haven buying as equity markets succumbed to selling.

The storyline being trumpeted in the financial media is that a government shutdown and possible debt default loom in October unless the U.S. Senate comes to an agreement on raising the debt ceiling.

Mock $1-Trillion coin/IMAGE: DonkeyHotey (CC)

There is some truth to these headlines. And we would certainly include unsustainable government debt among the top reasons for investors to own physical precious metals.

10-Year Yield Jumps to 1.43% as Bond Market Reacts to what the Fed Said Yesterday about Tapering, Rate Hikes, and Inflation

by Wolf Richter, Wolf Street:

The Fed is getting nervous about inflation. “Temporary” doesn’t cut it anymore. And the bond market is getting a whiff of it.

The 10-year Treasury yield jumped 11 basis points today to 1.43% at the moment, the highest since early July, and the biggest jump since February. Apparently, it sank in today what the Fed had said yesterday afternoon. It placed the beginning of the Big Taper into November to be done with by mid-2022, which would then pave the way for rate hikes. Fed officials keep moving the first rate hike closer and closer. And they expressed their nervousness about the red-hot “temporary” inflation lasting a disturbingly long time.

“Hyperinflation” Tops List Of Fears For UBS Clients


from ZeroHedge:

With Democrats in Washington pushing for a $3.5 trillion ‘social infrastructure’ stimulus package and Speaker Pelosi perhaps hinting at the removal of the debt ceiling altogether for the US, it is perhaps no surprise that some are ‘worried’ that the idea of consequences is absent from any discussions.

Pelosi called the debt ceiling vote a “tradition,” adding that there is some back and forth about whether they need to do it, before she dropped this bombshell: “There’s some doubt as to whether that should be the case.”

Well no debt ceiling would certainly enable MMT – as long as The Fed can keep monetizing that malarkey – and perhaps that’s why USA sovereign risk is spiking…

Something Seriously Wrong With Nancy Pelosi – This Brings Up The Question Of Whether Politicians And World Leaders Are Using ‘Young Blood’ To Slow Down Physical Aging

by Susan Duclos, All News Pipeline:

Ever notice how seated politicians, excluding the random one here and there, seem to live far longer than the normal average life span of the general populace?

Even over in England the Queen is 95 years old, and her husband who recently passed was 99 years old.

American politicians also seem to live long, just look at the politicians at this link, updated in 2020.

Former President Jimmy Carter, 96. His wife, 94. Dianne Feinstein, 88.

The Fed’s Reverse Repo and Balance Sheet Tapering Madness Accelerates


by Mish Shedlock, The Street:

Reverse repos, effectively a QE drain, hit new record levels even as the QE madness continues.

Choking on Liquidity

The New York Fed Market Data Dashboard shows $1.283 trillion in reverse repos.

At Wednesday’s FOMC meeting the the Fed announced that a “moderation in the pace of asset purchases may soon be warranted“.


by Geoffrey Grinder, Now The End Begins:

It’s being touted as “climate action in your pocket”, and the Doconomy site says “Our non-plastic, biodegradable DO card tracks the CO2 emissions generated from our transactions and then displays that data through a simple app.” The site goes on to say that this is a partnership not only with credit giant Mastercard but under the authority of the United Nations as well. Then they drop the ‘other shoe’ as the old saying goes. Your credit gets cut off when you reach your ‘carbon limit’. To effectively reduce the climate crisis, we have to make behavioural changes with high impact. DO Black is a, not yet launched, credit card that helps us calculate our climate spending, but it also comes with a monthly tCO2e limit, ensuring that we stick to the UN-2030-recommended cuts in carbon.

Peter Schiff: Gold Will Explode; The Dollar Will Implode When the Markets Figure This Out


by Peter Schiff, Schiff Gold:

Peter Schiff says gold will explode and the dollar will implode when the markets figure out the Fed is crying wolf when it comes to monetary tightening.

The Federal Reserve wrapped up another meeting without making any changes to its current extraordinary, loose, inflationary monetary policy. But the central bank did hint that it may start tapering its quantitative easing program “soon.”

That was enough for the markets. They continue to expect the Fed will tighten monetary policy and fight surging inflation. Gold sold off after the FOMC statement came out, dropping about $10.

There are many shortcuts to fantasy, but there are no shortcuts to the scientific truth

by Geert Vanden Bossche, Geert Vanden Bossche:

People asked my opinion about the following article:

“How the unvaccinated threaten the vaccinated for COVID-19: A Darwinian perspective”

Author: Emanuel Goldman; PNAS September 28, 2021 118 (39) e2114279118;

My comments:

This is yet another example of a professor who thinks he has a good understanding of how this pandemic is evolving and who is firmly convinced he can take advantage of Darwin’s law to put the blame for the catastrophic evolution of this pandemic on the unvaccinated. I am sure he didn’t read my contribution ‘Repetitio est mater studiorum’….