Author Archive: Jeremy Parkinson
Billion Dollar Unicorns: Is Affirm Overvalued?
According to the Federal Reserve Bank, there were nearly $1.38 trillion of consumer loans at all commercial banks in the US as of July 2017. The global consumer lending balances at the beginning of 2016 are estimated to be $42.3 trillion. A TransUnion report estimates the personal loan balance was at $107 billion at the end […]
Make Capital Cheap And Labor Costly, And Guess What Happens?
Employment expands in the Protected cartel-dominated sectors, and declines in every sector exposed to globalization, domestic competition and cheap capital. If you want to understand why the global economy is failing the many while enriching the few, start with the basics: capital, labor and resources. What happens when central banks drop interest rates to near-zero? Capital […]
The Benefits Of Issuing Gold Bonds
This is a gold bond bought by the President and Fellows of Harvard College, on 27 Nov 1905. The amount is $5,000 payable in “the Gold Coin of the United States of America”. That coin was the Liberty Head. The double eagle $20 coin had just under 1 troy ounce (i.e. 31.1 grams), or 0.05oz […]
Gold’s Signs For A June Bottom
In yesterday’s article, we explained why the short-term outlook for the precious metals changed from bearish to neutral and we took profits from our short positions. It was not just the fact that the price targets were reached for gold and silver. The key to the change in the outlook was seeing the confirmations from […]
Sovereign Debt Yields: Like A Day At Six Flags
Looking at recent developments in the developed world’s sovereign debt markets, an investor could be excused for feeling like they are on a roller-coaster ride. Indeed, from the beginning of May through the third week of June, market participants witnessed surging U.S. Treasury (UST) 10-Year yields, followed by chaos in the Italian bond market, which led […]
Stock Markets Mood: Just Kidding
When I woke up at about 4:30, I wearily glanced at my iPad, and I saw futures were down pretty hard. Nice. I went back to sleep. An hour later I woke up for real, and saw everything was green. And what, pray tell, caused this nearly 30 point spike? None other than that weasel […]
Headline Durable Goods Orders Down 0.6% In May
The Advance Report on Manufacturers’ Shipments, Inventories, and Orders released today gives us a first look at the latest durable goods numbers. Here is the Bureau’s summary on new orders: New orders for manufactured durable goods in May decreased $1.4 billion or 0.6 percent to $248.8 billion, the U.S. Census Bureau announced today. This decrease, […]
Should You Buy Stocks With Visionary CEOs?
Audio Length: 00:25:55 Should you buy the stocks of companies that have visionary CEOs? Or is it too risky? What’s the Definition of a Visionary? First, it would be helpful to define what a visionary is: A person thinking or planning the future with imagination or wisdom. One who sees. One who is ahead of […]
Weak Dollar Policy And Commodities
Many political pundits will tell you that President Trump won the election, in part, on the promise of a rebirth in the manufacturing sector. His initial strategy to reduce the trade deficit centers on negotiating new tariffs and renegotiating existing trade agreements. These volatile discussions with other nations, often accompanied by threats, will likely continue […]
Bank Index – About To Fall 10%?
The above chart looks at the Bank Index (BKX) over the past 11-years. At this time the “trend on banks remains Up!” This very important index peaked in 2007 at (1), before breaking support and then falling hard for the next couple of years. The rally over the past 9-years saw the index come back to 2007 levels a […]
