Rather suddenly, the state issued fiat currency bolivar lost 99% of its purchasing power. Gresham’s law holds that “bad money drives out good money,” meaning that given a choice of currencies (broadly speaking, “money” that serves as a store of value and a means of exc...

With so much focus on bitcoin lately, we’ve added a new weekly update that tracks the three largest cryptocurrencies by market share: bitcoin, Ether, and Ripple. According to Wikipedia, a cryptocurrency is “a digital asset designed to work as a medium of exchange that uses cryptography t...

Moves in the Japanese yen have been a reliable indicator for gold due to the effects of the yen carry trade. Given ultra-low interest rates in Japan, its currency has been the funding currency for global speculators who borrow in cheap yen and then speculate in other assets. When the yen weakens, th...

Over the last two years, sugar futures have crashed and spiked and crashed again — much like a diabetic without insulin. After plummeting to an 8-year low in September 2015, sugar prices then doubled in a stunning rally to a 4-year high in September 2016, only to turn back down in a 40% sell-o...

All of a sudden the Fed got a little tougher. Perhaps the success of the hit movie Wonder Woman has inspired Fed Chairwoman Janet Yellen to discard her prior timidity to show us how much monetary muscle she can flex when the time comes for action. Although the Fed’s decision this week to ...

Starting at 9 a.m. ET Wednesday, April 20, our friends at Elliott Wave International are “opening the doors” to their entire line of trader-focused Pro Services — free for 7 days — during: Pro Services Open House. EWI Pro Services bring you opportunity-rich, professional-grad...

During the prior economic cycle of 2003-2007, one question I asked again and again was: Is the US running on a business cycle or a credit cycle? That question was prompted by a series of data I have tracked for decades; data that tells a very important story about the character of the US economy. Sp...

This is part 3 of a 5-part market series by EconMatters.  Read Part 1 here, part 2 here The Utility Sector This crowded trade revolves around a common theme Central Bank Policy and its effects on financial markets. The third most crowded trade in our series is the Utility Sector Stocks. Investors h...

Today the European Central Bank acknowledged that the currency it manages is being sucked into a deflationary vortex. It responded in the usual way with, in effect, a massive devaluation. Eurozone citizens have also responded predictably, by converting their unbacked, make-believe, soon-to-be-worth-...

The gold miners have seen impressive investor interest in their beaten-down stocks in this young new year, with capital inflows fueling a sharp rally.  And this buying is likely just beginning, as major market changes are afoot that should catapult gold much higher.  With gold stocks trading at fu...

Is it time to short the dollar? Saxo bank chief economist Steen Jakobsen thinks so. Via email from Steen … What is wrong with changing your mind because the facts changed? But you have to be able to say why you changed your mind and how the facts changed. Lee Iacocca My biggest call all year...

If you’ve ever tried your hand at futures trading, and if you’ve been watching the 2014 World Cup, you’ve probably thought to yourself — Yup. This looks like how it feels to invest in commodities. Hey, if the cleat fits! The world of commodities trading is competitive an...

Regardless of what we eat, we’re actually eating oil. Anyone who buys their own groceries (as opposed to having a full-time cook handle such mundane chores) knows that the cost of basic foods keeps rising, despite the official claims that inflation is essentially near-zero. Common-sense cause...

The Euro has done well over the past couple of years, pushing higher and now its near the top of falling channel resistance. This rally has caused a few investors to become bullish the Euro, nearing peak bullish levels over the past couple of years.   CLICK ON CHART TO ENLARGE Is the Euro about to...

The Shanghai Index, Copper and Freeport McMoran (FCX) look to be forming large descending triangle patterns. If you are unfamiliar with this pattern please read about them here  Bottom line to this pattern, a break of support suggests a decline, the size of the triangle!   CLICK ON CHART TO ENL...

During QE3, the latest round of the Fed’s quantitative easing, the stock market rose. We all know that. But did you also know that commodities fell? That’s right: QE3 had zero effect on commodities — or maybe even a negative effect. In fact, an unbiased observer of the trend might ...