There are a heck of a lot a bubbles in the global financial system (…and many areas in the private sector, sovereign, etc.). Add to the potential mix what I call “hyper-hypothecation” and derivatives overhang and we’ve reached a level where systemic risk has never been higher.
TND Editor’s Spotlight: Wall St. For Main St.
Jason Burack of Wall St for Main St interviewed returning guest, Grant Williams. Grant writes the popular investing newsletter, Things That Make You Go Hmmm. He also co-founded the new investor education company Real Vision TV. Grant has over 30 years experience working in the financial industry.
During this 30+ minute interview, Jason asks Grant how bad things are in the global economy. No bubble is left verboten – and there are a heck of a lot a bubbles in the global financial system (…and many areas in the private sector, sovereign, etc.). Add to the potential mix what I call “hyper-hypothecation” and derivatives overhang and we’ve reached a level where systemic risk has never been higher.
While Grant does caution that the U.S. dollar may very well see another move higher before its ultimate, eventual date with America’s turn ’round the currency war merry-go-round, Grant is unequivocal on gold as a physical asset. There’s only so much true, physical gold and when even just a small percentage of the conventional finance community on Wall Street and London get wind that paper claims to gold they have might not be as “solid gold” as first believed, price upside will likely be one for the record books.
Grant’s analysis on the dollar and global macro conditions is outstanding and very perceptive.
We’re living in a time when central bankers and those that work within that circle seem concerned. Take for example William White, the former chief economist of the Bank for International Settlements (BIS). He is talking about jubilee as something that might be necessary (link). When’s the last time you heard anyone that runs with that pack – at the high level that he formerly served – say the sort of blunt exposition Mr. White discloses in that truly “must read” Ambrose Evans-Pritchard article GATA’s Chis Powell kindly spotlighted? I can’t think of any example. Can you? — Eric Dubin, Managing Editor, The News Doctors.
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