Fed WatchThis is the third largest Dow Jones drop in market history.
Remember This One Thing as the Stock Market Gets Bumpy
Here's what caused it - and what you can do right now...
Profit Alerts
Fed Watch
What to Do About Lagging Fed "Normalization"
The Fed has fallen behind schedule. The schedule called for a total of $30 billion in reductions in Q4 of 2017, $60 billion in Q1 of this year, $90 billion in Q2, and $120 billion in Q3, which is now complete. So the total scheduled through the end of September was $300 billion.
Here we are at the end of Q3, and the Fed has only shrunken its balance sheet by $276 billion since last October, when it started the "normalization" program.
Here's a look at how things have been unfolding throughout the past ten years...
This "Uncooked" Data Proves It: Another Housing Crash Is Coming
The housing market is rolling over – and it will get worse as mortgage rates and house price inflation continue to rise.
Of course, you're not seeing or hearing about this out in the media… yet. That's because, initially, these events will make little difference to the now-booming U.S. economy. Housing stopped being a major economic driver after the last bubble collapsed.
But make no mistake: It will matter, big time.
My Favorite Way to Be "In Cash" (No Mattress-Stuffing Required)
Start the conversation
Leave a Reply
The Fed is hell-bent on draining tens of billions of dollars of vital liquidity out of the markets each month.
How to Prepare for Fed-Sponsored Market Declines
Start the conversation
Leave a Reply
At the Fed meeting last week, Jerome Powell used some code words to warn us to watch out for downside ahead.
Powell told us that he's the tough hombre that will stick to tight policy until there's "a significant and lasting correction in the markets."
That certainly means more than a measly 10% correction, or even a fast 20% decline.
Earlier in the press conference, he alluded to the idea that a housing bust is a much more serious threat to the economy than a mere stock market decline.
So it's pretty clear that there will be no Powell Put for the stock market.
Powell is warning you to be prepared to take some pain...
Proof Positive: The Fed Is Bleeding the Market Dry
Our Liquidity Specialist shows you in detail how the Fed is continuing to shrink its balance sheet and how the economy is in danger of being superficially strong.
Find out what this means for you and how you can stay safe in a market going dry...
CNBC Just Posted Fake Inflation News – Here's the Real Story…
Start the conversation
Leave a Reply
A lower-than-expected Consumer Price Index release on Sept. 12 sent the stock market rocketing higher.
But has anything really changed?
And does it mean anything for our bearish stock market outlook and strategy?
After a quick glimpse at how the media handled it, we'll take a deeper dive into the numbers to see what's really going on, versus the Wall Street media narrative.
What the Next Fed Rate Hike Means for Gold Prices in 2018
Start the conversation
Leave a Reply
With gold prices still trading tightly in the $1,200 price range, the yellow metal can't seem to gather any momentum.
But that's about to change.
These Numbers Could Push the Fed to Do Something Stupid
The Daily Treasury Statement data for the end of August showed some improvement in total tax collections, including a slight uptick in withholding taxes and an even bigger increase in excise taxes.
The numbers suggest that an early summer slowdown has ended. After the expected downward revisions in June and July jobs data, the August uptick in jobs was not a fluke. And the excise tax data suggests strong retail sales.
So, not an altogether bad summer – if you happen to be a politician or government taxman. But what about for investors?
Well surprise, surprise, surprise! Good news is bad news, which is what we've been talking about here all along.
Good economic news, as presaged by the uptick in tax receipts, will encourage the Fed to keep tightening.
And tighten it shall, in two ways: Most importantly (and most destructively), it will drain more money from the banking system. Secondarily, it will continue to rubber-stamp tightening money markets by raising the federal-funds rate.
And that, as I have been shaking my fist at the sky about for months, is really bearish.
The stuff has not hit the fan yet, but it is coming...
The Ugly Truth Behind the August Nonfarm Payrolls Data
Start the conversation
Leave a Reply
Wall Street traders await the first Friday of every month with bated breath.
Why? Because it's Nonfarm Payrolls Day!
When the news is posted at 8:30 a.m. ET, the market often gyrates wildly in response. And today was no exception!
So let's walk through exactly what happened in the markets the morning of Sept. 7, and look at what impact we can expect this to have moving forward.
Start the conversation