Yellen’s Remarks Cause Markets To Anticipate The Impossible – Ep. 211

Yellen’s Remarks Cause Markets To Anticipate The Impossible – Ep. 211


* The stock market continues to ride the Trump wave to new highs, in fact the Russell 2000 hit an all-time record high today
* The enthusiasm for stocks not being dampened by the carnage in the bond market
* We now have the yield on the 10-year treasury up at around almost 2.3
* And the yield on the 30-year now, just below 3% - 2.99
* Yields are still low, but nowhere near as low as they were
* And of course, nowhere near as low as they're headed
* It's not just the fact that bond yields are rising, but the rapidity with which they're rising
* And the technical damage that is being done
* This again, as I said in an earlier podcast this could be the beginning of an explosive move up in interest rates
* And right now, nobody seems to care, least of all Janet Yellen
* She testified today - her supposedly hawkish testimony is one of the reasons that gold sold off today and the dollar rallied
* Before she spoke, gold was positive on the day
* She did say it would likely be appropriate to raise rates "soon"
* And everybody interprets "soon" as, the next chance they get, which is less than a month from now
* Although, if the Fed is really determined to raise interest rates in December
* Why not just say it?
* Why say it may be appropriate to raise them soon?
* Just say, "It's appropriate to raise them in December"
* They still want to leave themselves plenty of wiggle room
* Even though the markets are saying it's a 95% probability
* The Fed is still being very coy and data dependent
* I think what's more important for the markets is the fact that Janet Yellen acknowledged
* That if we get a fiscal stimulus - which she doesn't even think is needed -
* She pointed out that we have a growing economy, everything is good, the unemployment rate is very low
* And that stimulus now in the form of tax cuts or extra government spending could overheat the economy
* And that she will have to adjust her monetary policy based on what Congress and President Trump ultimately decide to do
* That's what's scaring the bond markets, because what Yellen is saying, is that
* If Congress and Trump want to step on the gas, she's going to have to tap on the breaks
* To prevent this thing from overheating, meaning that with unemployment already so low
* Any stimulus now, risks making inflation too high
* Meaning that the Fed would have to act to rein it in
* Even though she still suggests that the pace of rate hikes will be slow
* She's implying that the pace will pick up if need be to offset the stimulus effects of tax cuts and spending increases
* And that is what is rattling the credit markets
* But what Janet Yellen or nobody else seems to understand is that any significant rise in long-term interest rates will crush this bubble economy
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Episoder(1086)

SchiffRadio Podcast Episode 5

SchiffRadio Podcast Episode 5

Episode 5 Synopsis: * Debunking Ned Davis' predictions on gold * Chicago Fed president Charles Evans hints that the Fed can't raise interest rates * Alan Greenspan gives Fed a pass on CNBC * Brokerage houses hit by FINRA arbritation results * Eurozone low inflation 'scare' * Collapse in Fannie and Freddie stock * The numbers behind the weekly economic data Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

6 Okt 20142h 24min

SchiffRadio Podcast Episode 4

SchiffRadio Podcast Episode 4

Episode 4 Synopsis * Launch of the iPhone 6 * Surprising employment arbitration results * Housing market rolls over * Hotel minimum wage * World Bank head claims that QE works Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

28 Sep 20142h 23min

SchiffRadio Podcast Episode 3

SchiffRadio Podcast Episode 3

SchiffRadio Podcast Episode 3 Synopsis: * FOMC: Janet Yellen's official statement and her response to her Q&A, later in the day * Market reaction to Yellen's statement, and the "walk" vs the "talk". * The Ali Baba IPO * The breakdown in the price of Bitcoin * My crazy email exchange with CNBC's Joe Kernen * Scotland votes to remain in the UK Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

21 Sep 20142h 4min

SchiffRadio Podcast Episode 2

SchiffRadio Podcast Episode 2

SchiffRadio Podcast Episode 2 Synopsis * Economic Data - More weak data * Purchase applications index declined by 7.2% - biggest decline in 14 years * Treasury yields slightly up for the week * Retail sales up - Buying more or paying more? * auto purchases with cheap money * inflation not taken into account * Auto loans increasingly delinquent * Fed Policy * I'll admit to being wrong if the Fed raises interest rates back to normal and shrinks its balance sheet back to normal, as promised, and does not produce a financial crisis. * Interest Rates * Negative Interest Rates in Japan and in Switzerland * Inflation * Paul Krugman says we should be at 4% inflation and a minimum wage of $10.10 * Commentary on Henry Blodgett's inflation comments * Column from David K. Johnson on how corporations are getting rich by paying taxes * Employment * Jobless claims up, indicating a trend change * The Economy * Recognizing bubbles ahead of the crisis * Europe - Poll on Scottish independence * Social Issues: * The NBA in the hot seat for racism * Over-reaction to the Ray Rice story Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

15 Sep 20142h 3min

Schiff Radio Podcast Episode 1

Schiff Radio Podcast Episode 1

Schiff Radio Podcast Episode 1  Synopsis: * Wall Street foolishly dismisses August's horrible Jobs Report * ECB cuts rates in misguided push for higher inflation. * "Shrink-flation," what is it and why those using the term still don't get it. * Implications of Switzerland's coming gold reserve vote . * Protesting Fast food workers determined to put themselves out of work. * Does Alibaba's biggest IPO in history shows portent more interest in foreign stocks? * Countrywide's Anthony Mozilo is not the real villain. * NY Fed concedes 25% of college grads wasted their time and money. Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

9 Sep 20141h 52min

Schiff Radio – January 1, 2014

Schiff Radio – January 1, 2014

Happy Holidays!, Due to the holidays, Peter Schiff Show is airing best-of broadcasts. Our Sponsors: * Check out FRE and use my code LISTEN20 for a great deal: https://frepouch.com * Check out Infinite Epigenetics: https://infiniteepigenetics.com/GOLD * Check out Justin Wine and use my code SCHIFF20 for a great deal: https://www.justinwine.com Privacy & Opt-Out: https://redcircle.com/privacy

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