Repo Market fails, Fed creates trillions, Stock Market soars, Gold collapses?

in #steemleo4 years ago

For my 1st post using the Steemleo interface, charts and macroeconomic stories I'm following:

1.) Wilshire 5000, the entire US stock market, 20+ year logarithmic chart:

Notes:

  • when the economy was booming in the early 2000s it hit 15,000
  • 2008/9 banking crisis saw lows around 7,500
  • currently over 30,000 and rising

Adding labels of some market drivers:

Is the economy really twice as big now as it was during the recent boom years, and bubbles? As we enter another major banking crisis, is the economy really 4 times as big as it was during the last banking crisis?

Are constant new all-time highs a sign of health? Should we recall that Weimar Germany and Zimbabwe stock markets were doing the same thing in the months and years before their utter collapses?

2.) The Fed is monetizing $75 Billion in debt every night to keep the repo market from imploding:

This is unprecedented, there is no permanent solution in sight, and the problem only appears to be getting worse. But remember: Do NOT call it "QE4" (the Fed insists that this isn't admission of failure and the economy isn't headed for another crash).

3.) Worst week in years for gold:

Traditionally, gold does well in times of economic crisis. In an economy that makes sense, gold should do incredibly well during times of quantitative easing / money printing / treasury repurchasing / monetizing debt.

While it's true the gold price is heavily manipulated by the big banks, at some point the collapsing economy and monetary inflation will be reflected in the precious metals prices - not just the stock market.

Stay tuned for more analysis and financial charts, and check out steemleo.com for an alternate steem blockchain front end!

DRutter

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Cool, report back on how @steemleo works out! So far so good :)
Incredible how gold can crash after financial news like we got this past week!!

Great analysis! Welcome to SteemLeo and thanks for making your first post from our interface 🦁

Check this out ;) https://Steemleo.com/@drutter/dashboard

Thanks very much! I have a question if you have a minute. How could I help improve the interface, or my involvement with it? I'm new to using other front ends, and somewhat new also to tokens, so advice would be appreciated :)

Nice analysis and great to see you giving SteemLeo a try. It sure looks like a when, not if, for a market crash. Surely the current course is unsustainable.

Posted using Partiko Android

Thanks for your comment, and I definitely agree. Timing it is really hard... but some sort of calamitous event and/or momentous change is certainly close.
Steemleo works nicely so far, definitely a viable front end option!

September or October next year is my prediction for what it is worth.

Leo is great, moving ahead of the rest. Only investment related though, they police to try and keep the content within the niche.

Posted using Partiko Android

That's good. I don't understand tags that accept everything. That's basically spam, and using the tag system in a way it wasn't intended. But this seems very legit. I do a fair bit of investing and financial analysis type posts so it'll be useful.

The 'Everything' Bubble continues.

Posted using Partiko Android

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