It seems pretty obvious that when the economy is weak individual’s earnings go down, and unemployment goes up, consequently tax revenues go down. After all, if people aren’t making any money they can’t give it to the government. So, it seems logical to ask about falling tax revenues and rising deficits. In today’s article, Ryan McMaken looks at the current situation.
If the Economy Is So Great, Why Are Tax Revenues So Weak? Read More »
Despite bullish sentiment, the Eurozone fell into recession in the first quarter of 2023, and social programs have also failed. Many blame rate hikes for this decline but in the following article, Professor Daniel Lacalle looks at the facts behind Europe’s dismal performance despite falling energy and commodity prices.
The Eurozone Falls into Recession as “Stimulus” Fails Read More »
The most important question for asset prices right now, from stocks to houses to Bitcoin, is whether we’re due for a recession. Last week we got confirmation that according to the traditional definition of a recession – 2 quarters of negative growth – we are already in a recession.
The response from this administration has been denial and word games rather than actually trying to stop the slide. At which point the betting shifts to whether it’ll be a shallow 1991-style recession or a big, 2008-style one, perhaps with a financial crisis to spice things up.
How Long Will This Recession Last? Read More »
The US has come so close to becoming energy independent. But it’s going to have to get its head around the idea that it could become a big oil importer again. In the end, the US energy boom may add up to nothing more than an illusion dependent upon the artificially cheap debt environment created by the Federal Reserve’s easy money policy.
The Oil Slump Will Hurt the U.S. Too Read More »
Recession Signs and Consequences The signs of an impending recession is a complicated combination of economic factors that include inflation, interest rates, lending, the value of the dollar, Government regulation and subsidies, corporate and personal liquidity, the stock market and unemployment figures. The consequences of the recession, on the other hand, are fairly simple. More companies and individuals are
A Simplistic Look at Recession Ripples Read More »
These days there doesn’t seem to be much in the way of good news out there anymore. What with Greece, the looming recession and all the market technicals looking negative we have three big bears (at least) roaring in our faces. In today’s commentary Chris Ciovacco Chief Investment Officer of Ciovacco Capital Management tells us how
3 Bears for the Markets Read More »
Before blaming falling stocks on the most recent weak economic reports, let’s check some dates. As of June 10, the Dow has suffered the “longest losing streak since the fall of 2002. The market’s last seven-week stretch of losses began in May 2001, as the dot-com bubble deflated,” reports The Associated Press. As for why
Six Straight Weeks of Decline Take DJIA Below 12,000: What Now? Read More »
In this article Doug Casey presents the case that we are in the early stages of an inflationary depression, commodities are soaring and next will be retail prices. In an inflationary depression financial assets aren’t worth the paper they are printed on and currently they are precious few bargains available in paper assets anyway. So
How to Preserve Your Capital in a Depression Read More »
Historically whenever the 10-year Treasury yield drops 1.2% over a short period of time a bear market for stocks resulted within two months . This signal presaged steep market crashes in 1990, 2000, and 2007.
Stocks Setting up for Big Slide Read More »
Everyone seems to have their opinion as to whether our fragile economy will experience a “double dip” recession or not. A double dip recession occurs when gross domestic product (GDP) growth slides back to negative after a quarter or two of positive growth.
What Is a Double Dip Recession and Will We Have One? Read More »
