Central

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…