us treasury

US Debt Becoming A Problem For The Dollar

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Reading Time: 5 minutes Some analysts speculated if the Fed would try to keep rates low to support the government’s spending binge. However, instead of worrying about the debt, the $400 billion spending plan and the tax cuts are being used as an excuse to raise interest rates and let the government bonds on…CONTINUE READING

ECB Unwind Causes Monetary Conditions To Tighten

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Reading Time: 5 minutes In January, the ECB tapered its bond buying from €60 billion per month to €30 billion per month. Equally as important, the central bank is expected to stop its bond buying completely by September 2018. European economic growth has accelerated recently, but it’s unclear how much the economy was helped…CONTINUE READING

Corporate Debt Highest Ever – What Does It Mean?

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Reading Time: 6 minutes In previous articles, the groundwork for how the current financial bubble was created has been explained. You can read them here, here, or here. To summarize, central banks have collectively pumped trillions of dollars into the system by buying assets. This lowered fixed income yields to record low levels. There…CONTINUE READING

Why Is China Dumping US Treasuries?

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Reading Time: 5 minutes China is a major manufacturer of merchandise. They are the world’s second largest economy, following the United States. China is the world’s biggest exporter of goods and have the largest trade surplus. That trade surplus results in vast currency reserves. This positive balance of trade for China has continued to…CONTINUE READING

#1 Guaranteed Risk Free Investment

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Reading Time: 4 minutes Does the title sound too good to be true? Is it even possible that there exists such a concept as a risk-free investment? Broadly speaking, when such statements are touted it is typically accompanied by a sales pitch. Let me assure it is not the case here, you will not…CONTINUE READING