Central

Argentina Central Bank’s Sudden Dollar Shortage Sparks Fears Of Mass Corporate Credit Crisis

By Tyler Durden Despite Emerging Markets’ recent surge higher on the heels of a dumping dollar and massive global liquidity injections, at least one country is facing crisis rather than crescendo. MSCI Emerging Market stocks have soared… Source: Bloomberg YPF, a 99-year-old oil company that some have called Argentina’s flaghship company, is threatening a large-scale…

"Simply Insane" Central Banks Attack Cryptocurrencies

Authored by Daniel Lacalle, The main central banks of the world are increasing money supply in an uncontrolled and unjustified way in what is so far the largest transfer of wealth from savers to governments ever. While savers see their deposits disappear with negative real rates and devaluations, while central banks seek at all costs to…

Lagarde Pushes ECB To Shun Fossil Fuel Bonds As Central Banks Embrace "Green" Future

Later this year, the ECB will meet for a grand strategy review. Expected to be one of the most consequential policy reviews for years to come, the central bank could opt for changes to its inflation target (some doves have proposed following in the footsteps of the Fed by loosening the ECB’s inflation target) as…

Austrian Central Bank Unleashes Pro-Cash Attack On ECB's Digial Euro Agenda

The ECB’s “war on cash” has been raging for years. It began most directly in 2016 when The ECB made its decision to end production of €500 banknote. As we said at the time, not a bad way to launch a global ban on paper currency ahead of a global NIRP regime, and all, of…

Morgan Stanley: We Are Bullish Because Central Banks Will Inject Another $2.8 Trillion Of Liquidity In 2021

By Matthew Hornbach, chief rates strategist at Morgan Stanley Liquidity. It’s What’s For Dinner With futures contracts tied to the price of water starting to trade last week, this seems a good time to take a look at the impact of liquidity. Liquidity means different things to different people, so before digging in, let me…

Central Bank Digital Currencies & The War On (Physical) Cash

Authored by Kristoffer Mousten Hansen via The Mises Institute, Twenty twenty is a year dominated by bad news. While governments around the world have imposed extremely destructive restrictions on economic life and promise a “Great Reset” that amounts to a great leap forward into the socialist future, central bankers have advanced plans for implementing central…

Central Bank Of Uzbekistan Introduces Parallel Currency: Gold

Submitted by Jan Nieuwenhuijs, the Gold Observer Since November 2020, the central bank of Uzbekistan (CBU) issues sealed gold bars with a QR-code for real time verification. With these new bars CBU aims to stimulate gold to be used as a store of value, as well as promote the circulation of gold. More and more…

Here’s How Central Banks Will Finally Unleash Inflation: The Shenzhen Case Study

Back in 2009, when the Fed first launched QE, a majority of traders and strategists were convinced that the Fed would spark an inflationary inferno as a result of the hundreds of billions of dollars (back then, that was a big number) of liquidity injected into markets and which – using the Weimar Republic as…

Central Banks To Add Liquidity Worth 0.66% Of Global GDP On Average Every Month In 2021

Earlier we discussed why Morgan Stanley’s chief equity strategist Michael Wilson voiced concerns about the continuation of the “overcooked” equity rally, expecting a drawdown into year end for the simple reason that “both fiscal and now monetary policy have become reactive rather than proactive. For markets, that becomes the itch that needs to be scratched–i.e….

Foreign Central Banks Buy TSYs For 2nd Month, China Holdings Near 4-Year Lows

Some relatively positive news in the latest TIC data shows that the last 12 months purchases of Treasuries by foreign central banks surged by $59 billion to $221.6 billion – its highest since Jan 2019… Under the hood, foreigners Total Long-Term Treasury Purchases: $22.5BN, sharp reversal from $33BN in sales in August Purchases of Agencies…

“Rapidly Intensifying” Hurricane Iota Set To Slam Central America 

Iota strengthened to a hurricane Sunday over the southwestern Caribbean Sea, expected to “bring potentially catastrophic winds, a life-threatening storm surge, and rainfall impacts to Central America,” reported the National Hurricane Center (NHC). #Hurricane #Iota is expected to become an extremely dangerous category 4 hurricane tomorrow and make landfall in NE Nicaragua or E Honduras….

Erdogan Fires Turkish Central Bank Governor, Launching Full-Blown Currency Crisis

Back in July 2019, when Turkey’s economy was in freefall and its inflation was soaring following a historic currency crash in mid-2018, and shortly after Erdogan became a de facto executive and unopposed ruler of Turkey, the Turkish president had a brilliant idea: take decades of monetary orthodoxy and flip them on their head. Faced…

China’s Growing Influence in Central Asia and the Middle East Will Lead to Further US Decline

  China’s increasing presence on the international scene is an undeniable threat to the US-led world order. Critical to China’s emergence as a major power this century, has been its widening influence in the Central Asian states. Central Asia, rich in mineral reserves, is among the earth’s most strategically important regions. Control over Central Asia…