We have seen a bounce in gold somewhat, but it is finding resistance at 1280 and will again at 1300. But this leg up, even if we have one more shake out of weak hands down to 1240/1250, is going to 1400+. If you have been following me awhile, you know a few things. One, there is no reason to …
Read MoreSep
11
2014
It is easy to convince people of all the problems with the U.S. economy. We do have over $17.7 Trillion of national debt and a Federal Reserve with a suspect balance sheet compared to its pre-2008 financial crisis balance sheet. We also have budget deficits for the next decade to deal with and unfunded liabilities in the 10’s of trillions. …
Read MoreOct
16
2013
The Federal Reserve – Lender and Buyer of Last Resort
By: Doug Eberhardt
Category: Gold
Tags: BOE, Buyer of Last Resort, Central Bank, Dodd, ECB, Federal Reserve, Frank, Gold, Lender of Last Resort, QE
Can the Federal Reserve save the U.S. economy from failure? Is this their mandate? When you research “lender of last resort (LLR),” which is what the Fed is supposed to be, you mostly find the source to be Walter Bagehot’s Lender of Last Resort Doctrine. This doctrine came about from Bagehot’s book, Lombard Street: A Description of the Money Market. Hartley Withers, in …
Read MoreMar
25
2011
The Lender of Last Resort Isn’t the Fed or ECB, It’s YOU!
By: Doug Eberhardt
Category: Gold
Tags: Banks, Central Bank, ECB, Federal Reserve, Government Spending, IMF, Inflation, Taxes
Banks always are bailed out by the government or the Fed and in Europe’s case, the equivalent of the Fed, the European Central Bank (ECB). The ECB is who is keeping Portugal’s banks afloat. But it’s also the IMF who likes to stick their greedy fingers into the pie, just as they have in many other countries, like Jamaica for …
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