Tag Archives: Quantitative Easing

The Broken Bond Market

The Fed tightens on Wednesday and bonds rally.  What the hay? GaveKal, Jeff Gundlach,  and Jim Bianco nailed it in that every spec and their mother are/were short 10-year Treasuries. Source: Quandl (see here for interactive chart) But this is … Continue reading

Posted in Bonds, Monetary Policy, Sovereign Debt, Sovereign Risk | Tagged , , , , , | 58 Comments

Bank of Japan Eases

Bank of Japan announced this morning it would increase its Asset Purchase Program by 10 trillion yen, from 91 trillion to 101 trillion yen. They split evenly, buying 5 trillion in T-Bills and 5 trillion in JGBs.  The Bank released … Continue reading

Posted in Japan, Monetary Policy | Tagged , , | 3 Comments

Bonds Away?

The 10-year Treasury yield is starting to bump up against some key resistance levels around 1.68-1.70 percent.   Can’t tell you what it means in these  squirrelly markets, but it is confirmation of the rally in equities. We’re waiting for the … Continue reading

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Cue Up Gold

After the Hilsenrath QE story, which broke in the last hour of yesterday’s equity session,  gold has started its move.  It’s up over $20 today  breaking out of a symmetric triangle formation. We believe is gold is driven primarily by … Continue reading

Posted in Gold, Monetary Policy | Tagged , , | 1 Comment

Parabolic Moves and Gold

The Fed finds itself extremely unlucky once again as it talks up quantitative easing while food prices, mainly wheat and corn,  are making a parabolic and historic move as crops suffer from extreme drought.   You can’t prove causation with … Continue reading

Posted in Black Swan Watch, Commodities, Gold, Inflation/Deflation | Tagged , , , , , | 1 Comment

Bernanke & Data Disappoint Goldbugs

You can see from the chart that gold starting selling off right around the release of the Beige Book yesterday, “Reports from the twelve Federal Reserve Districts suggest overall economic activity expanded at a moderate pace during the reporting period … Continue reading

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Gold In Full Blown QE Mode

Gold is a weird cat with multiple personalities and more than nine lives.  The yellow metal is up almost $100 since last Friday’s weak U.S. employment report. At any given time period  gold will assume any one of its multiple … Continue reading

Posted in China, Gold, Inflation/Deflation, Monetary Policy | Tagged , , | 3 Comments

Bernanke’s “No Mas” Send Gold, Bonds, & Yen into Swan Dive

Wow!  Take a look at gold, bonds, and the yen after Fed Chairman Ben Bernanke’s testimony on Capitol Hill was interpreted as “no mas” on further quantitative easing.  We we’re a little too complacent with our covered gold positions and … Continue reading

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Is the Fed ready for the bond market’s Arab Spring?

We’ve updated our database of the Federal Reserve’s ownership of the U.S. Treasury coupon curve.  The resulting chart highlights a couple of interesting issues about its structure and holdings of outstanding notes and bonds. First, though nothing new, it shows … Continue reading

Posted in Black Swan Watch, Bonds, Sovereign Debt, Sovereign Risk | Tagged , , , , , | 3 Comments

The Race to Debase

Wow!  Nice catch up by the ECB.   Don’t you get the feeling more QE3 talk from from the FED confirmed by dollar stabilization — i.e., non-strength — will ignite gold like a bottle rocket? (click here if chart is … Continue reading

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