QUESTION: Dear Martin: I hope you are doing well. In the movie of James Bond, named “Quantum of Solace”, (filmed in some areas of the Chilean desert), the Bolivian and corrupt general requested his money in Euros, because “the U.S. dollar is NOT the same than before!”. Many asset managers, private investors, men and women […]

  The FT ran a commentary entitled, “The case for retiring another ‘barbarous relic'” on paper money. Money has historically never been a store of value for money is on the opposite side of tangible assets. Even when gold was used as money during the 19th century, its discovery in California was highly inflationary. Rooms for rent in San […]

QUESTION: Mr. Armstrong; Is the velocity of money an indicator of booms and bust? Didn’t the QE program by the Fed increase the money supply? Then why do we not see an increase in velocity or inflation? Confused & Curious TW ANSWER: The reality is, in a broad general sense, the velocity of money is […]

The world share markets remain volatile yet should begin to stabilize now showing tentative signs that the panic of Monday is starting to subside. The reported epicenter of Shanghai for the rout, however, has suffered another big sell-off. The mayhem in China’s equity markets showed no signs of abating on Tuesday, as the Shanghai Composite index […]

“Wild” is an understatement to describe today’s equity market moves. Some say the Chinese are at fault for their unexpected move in currency, but whatever the reason for the increased volatility, you can be sure they will increase margin requirements, which will add to the volatility and further the decline in liquidity. All Asian equity […]

This three-month rout in equities is scaring the hell out of everyone. It has changed the view that the Fed will not raise rates, which has sent the dollar lower in what appears to be the bubble in government, particularly in Europe. The bells are ringing this Monday across world markets with a 9% nosedive […]

The share markets collapsed and so far the May high looks to have been correct. The decline into this period is having the precise correlated response necessary to create the peak in government for this turn in the ECM – the final rush to quality. The S&P 500 cash previously elected just one Weekly Bearish […]

Another very poor performance from Asian equity markets rolled over into Europe and the U.S. All Asian markets lost between 1% – 3.5%. In Europe, FTSE was the best of a poor bunch, only losing 0.6%, whilst the DAX and CAC were both down over 2%. The U.S. fared no better with the DOW and […]

The support on our weekly models lies at 17253 and 17068. Weekly closings beneath these numbers will confirm that a correction is in progress. Keep in mind that a decline in the share market should send capital into a final spin with the rush to a flight to quality creating the last peak in government. […]

Of course those biased toward gold will relay the rally as big volume, as if this were some sort of fresh buying that warrants cheering when in fact it is a short-cover rally. This is the bounce our computer has projected without bias or passion, minus the hyperbole. We can see that the Energy Models […]