COMMENT: they now propose a bill which provides that savers’ deposits in Austria will no longer be guaranteed by government. The banks should be responsible for the safety of savings, not the government. Welcome to the almost obsolete world of modern banking.Our deposits/savings largely guaranteed by transactional bankers(whos balance sheets Joe Public cannot possibly understand the […]

QUESTION: Dear Martin, I watched your Solution Conference and I appreciated it a lot. Indeed, I hope they will follow your suggestions. As far as the markets are concerned here you can find attached the latest report of some guys I have been subscribing to since 2010. Their models warned of a possible top in […]

QUESTION: Hi Martin, Saw ‘The Forecaster’ in London, only sorry it was not showing for longer as many friends would have liked the opportunity to see it, it was an excellent documentary. Very much enjoyed watching the ‘Solutions Conference’. How do you see debt for equity operating in the UK alongside the abandonment of the Central […]

The New York Times July 12, 1998 A Great Big Bounce for Bucks & Bonds by Gretchen Morgenson Market Watch, Front Page Section Like a beach ball held under water and then released, the dollar popped up again last week. The dollar index, a measure of the value of the Unted States currency against 10 […]

QUESTION: Dear Martin, First of all, thanks for making the sense of the world for all the readers. Without you, as you yourself know well, 99.99% of us are lost !!! When you say- That is when inflation will appear when this become obvious we have a runaway train and central banks can do NOTHING. Are you saying […]

QUESTION: Do you think Congress would accept a debt for equity swap? I am not sure even their chief of staffs would understand this one. HD ANSWER: There is precedent for a debt-equity swap. That is actually the Hamiltonian Model. Alexander Hamilton proposed that the States who funded the Revolution should have their debts consolidated […]

QUESTION: sure enjoyed your conference via livestream and thank you for your blog site as it is very informative. I understand the swap of federal debt for equity in the form of coupons. then the coupons will be redeemed as cash from the treasury. what method of funding the coupons will the treasury use? I assume […]

QUESTION:  Mr. Armstrong, I have been eagerly awaiting your Solution and am trying to wrap my head around it. Can you explain more about the debt to equity swaps? What exactly would the debt be swapped for? PS: In your latest blog, you mentioned repealing the “13th” amendment. That gave me quite a shock until […]

Debt-equity swaps were used in the former Soviet satellites in Eastern Europe. This was the chief method of making the transition from communism to capitalism. Poland implemented an extensive privatization program back in 1990 and had privatized half of all state-owned enterprises by the end of 1994. Indeed, debt-equity swaps were introduced into the Polish process […]

The reaction rally in the markets appears to be unfolding on schedule. From the broader perspective, a corrective process in equities will send the residual cash into bonds and this may help create the final bubble top in interest rate markets. This should materialize with a correction in the dollar and that pop in the […]