QUESTION: Mr. Armstrong, Elizabeth Warren’s proposal seems to lack any comprehension of the economic impact. She has said: “To put our economy — and our families — on firmer ground, it is essential to reduce household debt both by raising people’s wages and by bringing down their costs. That is the heart of her economic […]

Back during the Great Depression, there were people who theorized that gold hoarding was preventing an economic recovery. There is always this same theory that people who save, hoarding their money, cause a lack of a recovery by suppressing demand. This theory has been around for a very long time. It assumes a recovery is […]

ASIA: There was a somewhat successful call yesterday between US Treasury Secretary Steven Mnuchin and Chinese Vice Premier Liu He. The call concluded that the US and China will resume trade talks in person at the beginning of October. In the run-up to the event, the two countries will hold a discussion in order to […]

QUESTION: Do you think that Cambridge Analytica actually had any influence in creating BREXIT given the controversy that they were hired but then not? Can such influence actually change elections? DK ANSWER: As Nigel Farage noted at our Rome WEC in early 2019, our computer forecast BREXIT when nobody else did. Our computer does not […]

ASIA: China today told Philippines President Duterte that the disputed area of the South China Sea was not up for negotiations as President Xi and Duterte met in Beijing. However, China was willing to work together to effectively manage the issue. With Duterte in his final term as presidency, critics back in his native country […]

COMMENT: Marty, The central banks tell us they will lower interest rates, even into negative territory, in order to stimulate the economy through bank lending. YOU tell this is an outdated theory that has NEVER worked and I believe you. Surely the central banks persist will this excuse not because they think it will work […]

President Trump just does not understand the dollar. This old school idea that lowering the currency will increase domestic jobs and exports sounds logical, but the value of any currency is determined by the level of international confidence. It is absurd to think you can lower interest rates and the dollar will decline to support […]

QUESTION: I am a bit confused. You have forecast that interest rates will rise but official rates will decline. Exactly how does this materialize? Thank you GF ANSWER: People seem to look at just the official interest rates set by the central bank and assume what I am saying is wrong. They have to look […]

ASIA: Contrary to US comments that two calls were made over the weekend, Chinese foreign ministry spokesman Geng Shuang said that he did not hear of any call being made. He also expressed that the increase in tariffs are putting huge pressure on both sides and are not constructive at all. “We hope that the […]

QUESTION: Marty, you have said this is the historic bond bubble of all times with interest rates at a 5,000 year low. Will you elaborate on the bond bubble at the WEC? It seems like this may be the granddaddy of all shorts. RK ANSWER: We have an Institutional Report on the Bond Bubble. We […]