In the most recent years the pendulum as held firm on the side of the CEPs and central bank put (Greenspan Put, Bernanke Put, Yellen Put, Powell Put [just]) was (and is) a real thing.
Now in 2019, after being sold the story the easy monetary policy can end and return to normal. The current Fed Chairman Powell even suggested this would see the US 10 yr bond near 4% while they sold down the $4T FED balance sheet at $5OBN a month, while suggesting the US economy would not even notice.
Well 2019 is not even half done, and the CEPs have arrived at their Little Big Horn moment and fell like General Custer. Things started to go wrong around the US 10 yr bond 3.25% mark, and this followed with a plunge of 20% in the SP500. Now CEPs are back to injecting monetary juice into the markets. Proof the new normal of never ending monetary stimulus can never be unwound.
Little Big Horn is marked where an arrogant and ambitious plan fell apart.
Will the CEPs monetary power ever fail? If it does what happens to Bob the Builder, Stacy the Hair Dresser, and Joe the Plumber. Us!
Well it seems those who are informed are putting the money where their mouths are. Billionaires who can afford the best research like Stan Druckemmiller, Sam Zell, David Einhorn, Ray Dalio and John Paulson have begun to hedge themselves against the CEPs failure to maintain power over inflated and fragile asset prices by investing in hard assets. Maybe masses should do so as well.
Below are some of readtheticker.com favorite gold charts.
Gold with the big parallel channels.
Gold with RTT_HurstDPO Cycle
Gold with Gann Angles.
Two things the CEPs have ruined the middle class with: Globalisation and monetary debasement. Protect your self from the great unwind.
Original Post: https://ift.tt/2tYw0tN
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