Analysis Topic: Interest Rates and the Bond Market
The analysis published under this topic are as follows.
Wednesday, December 21, 2016
Why Are Foreign Nations Dumping US Treasuries / Interest-Rates / US Bonds
By: Dan_Steinbock
Recently, foreign holders of US treasuries have been dumping their holdings more and at record pace. Optimists see it as a temporary fluctuation. Realists warn about structural change.
According to US Treasury data, major foreign holders of US treasury securities have been reducing their holdings by almost $250 billion since March. The pace of dumping has intensified with some $200 billion reduced in just past two months.
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Tuesday, December 20, 2016
Brace Yourself For Italy’s Bankruptcy / Interest-Rates / Eurozone Debt Crisis
By: John_Mauldin
When Charles Gave of Gavekal chooses to express displeasure over an economic trend, an asset class, or what have you, he does not mince words. Right now, Charles is exercised about Italy.
When Italy adopted the euro in 1999, Charles argued at the time that Italy would change from being an economy with a high probability of many currency devaluations to one with the certain probability of eventual bankruptcy. Now, he says, the fateful moment is not far off.
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Tuesday, December 20, 2016
Trump Appointees Could Make Up The Majority Of The Fed In Two Years / Interest-Rates / US Federal Reserve Bank
By: John_Mauldin
BY PATRICK WATSON : The Trump administration's economic team is beginning to take shape, but we still don’t have nominees for two Federal Reserve Board vacancies.
Whoever gets them will have a chance to truly disrupt the global economy. That’s a big deal—so why haven’t we heard more about Trump’s plans for the Fed?
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Sunday, December 18, 2016
US DEBT - A Total Disregard For Fiscal Responsibility / Interest-Rates / US Debt
By: Andy_Sutton
While we aren’t sure the coast is clear – yet – the show must indeed go on. There are topics that need to be discussed. Now with the whole new concept of ‘fake news’ out there for the sole purpose of discrediting anything the establishment wants off the radar we’re going to have to ask you to look at the decade’s worth of work that has been poured into this column and decide if we are fake or not.
For the sake of honesty, it must be pointed out that the mainstream media, in a classic false flag type move, created the whole idea of fake news with its own ridiculous material, then used the whole stunt to say ‘see, we need to be careful because there are lots of phonies out there’. Darn right there are. We’ll allow that there are quite a few shills in the alternative media. Their betrayal will be exposed in time, but for the most part the phonies have three letter network affiliations attached to them.
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Sunday, December 18, 2016
US Bond Market Implosion Continues / Interest-Rates / US Bonds
By: Gary_Savage
The Bond Implosion Continues
Is the bond market implosion the next black swan event that everyone is ignoring?
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Friday, December 16, 2016
Trump Making Deficits and Public Debt Great Again / Interest-Rates / US Debt
By: Arkadiusz_Sieron
Trump’s economic agenda consists of foreign policy, fiscal policy and regulatory policy. We have already commented a bit about Trump’s imprint on geopolitics and uncertainty in the context of the gold market. Now, let’s focus on the domestic policies.
First, Trump wants to reduce regulations hampering business. During the campaign he called for a moratorium on new financial regulations and for a 70 percent reduction in regulations. Importantly, in his 100-day action plan, the president-elect proposed that for every new federal regulation, two existing regulations must be eliminated. Deregulation should stimulate economic growth and the stock market, which is not good for the yellow metal.
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Thursday, December 15, 2016
Trump’s Debt Financial Revolution! / Interest-Rates / US Debt
By: Chris_Vermeulen
Trump’s economic plans will increase national debt!
A Ticking time bomb!
Currently, U.S. debt stands at a mammoth $19.8 trillion and will continue to increase under President-elect Trump considering his lenient tax cuts and plans for infrastructure spending:( http://www.usdebtclock.org/).
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Thursday, December 15, 2016
FOMC Raises US Interest Rates, Market Reacts in Mood Swings / Interest-Rates / US Interest Rates
By: Harry_Boxer
The stock market indices had a topsy-turvy day with the FOMC meeting taking place as they raised interest rates. The day started out with a move to the upside, they met resistance, backed off to test support, held, and although the S&P 500 made lower lows, the Nasdaq 100 did not. They then ran up into the FOMC. At that point, they made a little bit of a pop, and then went down in a steep slide, a big rally ensued, they went down in another steep slide, held support on the Nasdaq 100, but not on the S&P 500. A very sharp rally took them back almost near the rally highs, and then in the last 20-25 minutes they took a plunge into the close, and finished very ugly on the day.
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Monday, December 12, 2016
The Yield That Breaks the Trump Rally's Back / Interest-Rates / US Bonds
By: Michael_Pento
In 2012 I wrote a book called "The Coming Bond Market Collapse", in that book I predicted that the bond market would begin to collapse by the end of 2016. Clearly, this prediction has started to come true. However, in all candor, I never dreamed that the Ten-year Treasury yield would plummet to 1.3%. Neither did I ever imagine that over thirteen trillion dollars' worth of global sovereign bonds would have a negative yield, as was the case this past summer.
Friday, December 09, 2016
US Interest Rates and the Toughest Man Who Ever Lived / Interest-Rates / US Interest Rates
By: David_Galland
Dear Paraders,
I begin this week sitting at our dining room table here in Cafayate, Argentina. Out the window, the vista is brimming with sunshine, vineyards, lovely houses, and lovelier mountains across the valley.
My wife is off working out at the Athletic Club & Spa. I would be too, were I not laid up by my recent hernia operation.
Later today, I’ll be playing a demonstration game of the ancient Chinese game of Go with a fellow resident and master of the game from California. Then we’ll dine at Bad Brothers Wine Experience with freshly returned owners from South Africa and my friend, former partner, and now closest neighbor Doug Casey.
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Thursday, December 08, 2016
How Trump Can Bring Outside-the-Box Thinking to Bear on the Fed / Interest-Rates / US Interest Rates
By: MoneyMetals
President-elect Donald Trump will soon have the opportunity to put his stamp on the Federal Reserve. And that is making the elite body of central bankers nervous.
On the campaign trail, Trump harangued Fed chair Janet Yellen for pumping up financial markets with cheap money – accusing the Obama appointee of being politically motivated.
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Thursday, December 08, 2016
Violent US Bond Market Selloff: An Eye-Opening Perspective / Interest-Rates / US Bonds
By: EWI
In Elliott wave terms, bond investors have transitioned from extreme optimism to extreme pessimism
[Editor's Note: The text version of the story is below.]
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Wednesday, December 07, 2016
Cracks In US Treasury Bond Market, The Japanese Factor / Interest-Rates / US Bonds
By: Jim_Willie_CB
Foreign USTreasury Bond dumping continues, and even accelerates. China and the Saudis are selling USTreasurys in a near panic. Foreign central banks liquidated a record $375 billion in USGovt debt in the last 12 months. An American disaster lies in the making from debt saturation, debt overload, and debt dumping. It is all denied by the Washington mouthpieces and the Wall Street handlers, as they lie. The USGovt debt default is within view, dead ahead.
Wednesday, December 07, 2016
Bonds: 90% of You Are Herding / Interest-Rates / US Bonds
By: Gary_Tanashian
90% (my low-balled estimate) of you, the investing public, are herding when it comes to the bond market. You may not know it because the overwhelming psychological atmosphere is to reaffirm, not question peoples’ behavior. That is what herding is; a comforting feeling of going with the flow and being at one with your environment and the greater zeitgeist.
Now, please don’t be offended by the title; you dear reader may well be one of the 10%. But out there in the financial investment realm, they are herding, BIG time, as bond yields are expected to continue rising, because… media; because… “Great Rotation, part 2” and because… the story of epic secular changes and the chance to be early and clued in to a great new market phase are so alluring.
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Monday, December 05, 2016
The Bond Bubble / Interest-Rates / US Bonds
By: Gary_Savage
Is the bubble in the bond market about to burst? Even a move back to the 38% retracement level over the next several weeks would cause chaos in the global financial markets.
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Friday, December 02, 2016
Is Japan About to Implode the $10T $USD Carry Trade? / Interest-Rates / Global Financial System
By: Graham_Summers
It is said that history has a sense of irony. The latest US election is not an exception.
Consider the following…
- Donald Trump campaigned aggressively on trade… particularly his opposing of the fact that the US gets taken advantage of by foreign nations via bad trade deals.
- Trump wins the Presidency on November 8, 2016.
- US trade gets royally screwed in the currency markets.
Wednesday, November 30, 2016
The Federal Reserve And Interest Rates: Definitely NOT What You Think / Interest-Rates / US Interest Rates
By: Kelsey_Williams
Where we are today is the culmination of decades of irresponsible financial/fiscal policies and a complete abdication of fundamental economics. But that should not be a surprise. The self-proclaimed purpose of the Federal Reserve Bank is to manage the economic cycles; an impossibly presumptive task and a violation of fundamental economic theory.
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Tuesday, November 29, 2016
Could a “Greek-Style” Carry Tax on Cash Come to the US? / Interest-Rates / War on Cash
By: Graham_Summers
As we keep warning, India is not the “last stop” in the global financial elites’ war on cash.
Indeed, as ZeroHedge noted earlier today, officials are proposing a tax on cash withdrawals in Greece. They’re also proposing only permitting digital cash or cards for various transactions.
The claim behind this policy is that it would stop cash being used in the black market. This is similar to other claims that implementing a carry tax on physical cash or banning it altogether would stop money laundering or other illicit activities.
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Tuesday, November 29, 2016
The US Bond Bear Market Has Begun! / Interest-Rates / US Bonds
By: John_Mauldin
BY JARED DILLIAN : It’s almost as if I can see the future.
In the September 22 issue of The 10th Man, I went through the math of how people would get screwed in a bond bear market.
I gave some concrete examples of what would happen if rates backed up 100 basis points. And sure enough, since the election, rates have backed up about 40 basis points.
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Monday, November 28, 2016
This Looming Debt Crisis Could Ruin Many / Interest-Rates / Global Debt Crisis 2016
By: John_Mauldin
We must deal with the debt if we are going to survive . We have two options: Simply stop spending or grow the economy. “Stop spending” is easier said than done. And boosting growth is going to be difficult too.
Total debt this year rose by 6.8%, almost double our growth rate. Not the right direction. After eight years of the slowest economic recovery in history, growing our debt dramatically faster than we are growing our country—even when we include inflation.
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