Wednesday, September 28, 2016

The Danger Is In Plain Sight
David Stockman* highlights how central bank money printers are unaware of the dangerous speculation & valuation excesses that their policies have "implanted throughout the financial system" .. points out one measure - Relative to disposable income, the value of household financial assets now far exceeds the last two bubble peaks .. "So here’s the danger. The denizens of the Eccles Building see no bubbles in a financial system that is rampant with asset inflation. It sees full-employment when the US economy has more labor slack than any time in modern history. And it keeps the Wall Street gamblers in free carry trade funding because it wants even more inflation than what is already ravaging the real incomes of Flyover America. No wonder the Trump voters want to throw the bums out. It is none too soon."
LINK HERE to the essay

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