Daniel Oliver, Director of Committee for Monetary Research and Education, talks about why people follow and depend on the Fed and get it all wrong.
Dan is an old friend of mine and has a very impressive curriculum vitae, but more significant, I believe that he is one of the most intelligent and knowledgeable monetary analysts anywhere. His work is very worthy of reading if you are interested in the unfolding Central Bank orchestrated economic and financial collapse. Many years ago in my wild and untamed Morgan Stanley days in New York I served on the board of the monetary and economic foundation that Dan is now Director.
Gravity has been accelerating the slow motion train-wreck that is the global economy. The Fed’s tightening is now clearly revealed as a “policy error” – pushing the global economy into depression, a precise analog of what the Fed did in 1929. The broader markets are only now guessing at that which history and theory mandate must occur: severe market dislocation followed by panicky and forceful Fed action.
Gold is beginning to react, having increased 13% YTD, and gold equities are finally starting to catch a bid, the HUI having soared 42% YTD. Avoiding a correction from the monster move so far this month seems unlikely, yet there were few bullish corrections on the way down – given the context it seems unwise to gamble on one.
Gold ultimately is headed into the multi-thousands, and with the banks starting to teeter again, the time is drawing closer.
This is a bit dated by a few weeks, but the insights remain timeless.