The Yield Crash Signals Pain Ahead
The collapse in Government Bond Yields during May was a clear signal that investors are afraid the stock market may be headed significantly lower. The flight to quality out of
What Are Bank Reserves?
When the crisis of 2008 began, the Reserves that commercial banks hold in their accounts at the Fed soared from $21 billion in 2007 to $2.4 trillion in 2014. Many commentators
The US-China Trade War Heats Up
With the US-China trade war heating up, it is important to understand what is at stake. This blog post provides a list of the most important Macro Watch videos on
Seigniorage: Simple, Short and $1.7 Trillion …
The new Macro Watch video describes the enormous windfall profits the US Government and, therefore, US taxpayers earn as the result of Seigniorage every year. Seigniorage is the profit a
Looser Monetary Policy Will Be Required
As recently as 1969, US savings were sufficient to fund all US debt. How things have changed. Last year, the US had only enough savings to finance 22% of all its debt. During
Expect Fed Rate Cuts This Year
Credit Growth drives Economic Growth. But the United States doesn’t save enough to finance all that it borrows. It hasn’t for a very long time. To finance the credit growth that drives
Credit Growth, Asset Prices and The Fed
Between 1980 and 2008, Credit Growth drove Economic Growth. The ratio of Total Credit to GDP soared from 170% in 1980 to 370% in 2008. Since 2008, however, Credit Growth has been
Alphabet’s World Changing “Other …
In a recent video, we looked at Alphabet, the parent company of Google, along with the five other US tech giants. There we saw that Alphabet’s most famous products and
The Tech Giants: Part Two
This video is the second in a series looking at the largest US tech giants ranked by R&D Investment. Part One covered Amazon, Alphabet and Intel. Part Two covers Microsoft,
The Tech Giants: Part One
The new Macro Watch video is the first in a two-part series examining the six largest US tech giants, ranked according to the amount they invest in Research and Development
