The central bank of Turkey raised its OVERNIGHT LENDING RATE TO 12.00% – this is up from 7.75%. This is indicative of the other side of the coin with high rates. A central bank can raise rates, as we traditionally see during a boom or in China these days, in hopes of stopping the speculation. Markets and economies […]

QUESTION: Mr. Armstrong; I am a young entrepreneur recently introduced to your work through my father. You have significantly influenced our views on gold and inflation. My question is related to interest rates. Do you still believe the table is set for much higher rates in 2014 – 2015? Thank you for your insights, Ben. […]

From Glen Downs on Capital Hill: “Marty,   Just to reinforce your analysis regarding the Fed possibly ceasing to pay interest on excess reserves; I am hearing from friends with close ties to the Fed and from friends on the Hill that individuals representing the TBTF banks are taking that possibility seriously.  In fact, there […]

QUESTION: Hi Marty Can interest rates go higher during a deflationary period. You mentioned in your posts, deflation is gripping Europe and im assuming the same for Asia. Once velocity falls and growth rates contract, is there a possibility of rates going higher, because of taxation and investor demand for higher yields? Thanks ANSWER: Yes. It […]

Interest Rates are not actually within the scope of the Fed’s power. It can create a base rate, but everything from there is indirect. That is why the Fed bought in 30 year bonds. It was hoping to create a shortage of long-term to reduce mortgage rates and encourage capital to buy mortgages. Everything they […]

Many academics are truly amazing. They talk in circles, assume they are far above everyone else, and thus pontificate from the Ivory Tower without ever stepping foot out the door. There is a growing  consensus that deficits no longer matter. WHY? Because they cannot explain how government has run persistent deficits yet nothing has happened. Therefore, […]

We are preparing a very important report on the Global Pension Crisis and the Interest Rate Nightmare that we face. Government will not reform. There will be no HYPERINFLATION because they have no intent upon just printing to meet obligations. That historically has taken place only in governments that are in the process of revolution, […]

http://www.reuters.com/article/2013/03/07/us-japan-economy-nishimura-idUSBRE9260AX20130307 The deputy governor of the Bank of Japan admitted that if yields rise 1 percentage point and they will lose 2.3 trillion yen. This is just the tip of the iceberg. We face a tremendous nightmare. Interest rates have been brought down artificially so low to bailout the bankers, that they have really screwed […]

Question: “What is your opinion on interest rates impact on real estate?  Once interest rates rise will real estate crash?” ANSWER: No! Once rates start to turn, then you will see a faster rise in real estate. This normally takes place because people see rates rise and anticipate they will continue. Likewise, as long as […]

Philadelphia must have waited for Obama’ State of the Union speech for today out comes the news they fully concur the rich should pay for everyone. Of course their definition of the rich seems to be anyone now with a job and a home. All property taxes are DOUBLING or more in the business and […]