Posted on 07/27/2014 10:28:41 AM PDT by expat_panama
Post Sunday dinner econ discourse ping.
Good morning. It is here anyway.
GLD is basing - could be a sign of inflation or only safe harbor in an otherwise bad market ??
TNX - 10 yr. Treasury interest rate keeps dropping - Bonds should move up and the market should drop. Time will tell
Noticing that, seems like it's been that way w/ both stocks and metals for say, 6 weeks or so.
lol! I keep forgetting we got time zones here...
I have been hedging against inflation with gold and silver miners and streamers lately. Hoping it does better than the metals themselves since they have a profit that is the difference between the metal price and the cost of mining and refining. Most pay dividends as well. Stocks I currently hold: SCCO, SLW, SAND, ABX, EGO
“...it’s actually a long term trend and the percent median of the average has been falling at a steady rate for decades.”
And yet for most of that time the average Joe’s investment portfolio and home value has steadily increased. We would attribute that to unchecked monetary and fiscal policy I take it? Or is that simplifying it too much?
...the average Joes investment portfolio and home value has steadily increased...
Most people (me included) get turned around when the words 'median' and 'average' are on the table.
Our always truthful friends at the Census.gov (/sarc) say we're getting increasing income inequality so that means the median incomes (half richer & half poorer) is becoming smaller and smaller relative to the size of the average incomes (total incomes divided by population). So what we're hearing from the press is that this is some kind of new thing, but reality is that it's been going on for decades.
imho income inequality is a good thing. Only a Marxist would want everyone to get paid the same amount.
Watson the game's afoot! While this morning's futures are cautious w/ metals up and stocks weak, Market Watch said it best: "Get ready for 48 hours and a little more of the most intense outpouring of information on the U.S. economy youre likely to ever see." (econ calendar here) This morning's buzz:
imho income inequality is a good thing. Only a Marxist would want everyone to get paid the same amount.
Goes against nature and the law of supply and demand: how many people can do heart surgery, vs. how many people can do burgers.
So you need a heart transplant? Go to McDonalds.
5.56mm
Had to stare at that one a bit, being color blind didn’t help much, but I can see what it’s showing now. These data show a powerful side to the economy that many ignore at their own risk and Q2 GDP may very well come out @ +3. Still, some negative indicators do still persist...
Where’s all that excess capital from 1999 sitting?
Cash :-)
If its in cash then it can flow back in, but if its in gold, commodities or food prep it’s not coming back soon or easily.
Is there really that much money sloshing around outside of productive assets?
I think this is statistical legerdemain for political purposes. What’s a household?
I’m on mobile right now so can’t post FRED graph but go there and type in “Cash” and look at the chart for cash held by banks. I posted to my Twitter feed so here you go:
https://mobile.twitter.com/bpjauburn/status/493896217017860097/photo/1
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