Click here to get this article in PDF
ZeroHedge/Larry MacDonald (Bear Trap Report)/7-14-2022
“Many economists in 2022 are highly delusional – a very dangerous group indeed. When you hike rates aggressively with a strong dollar you multiply interest rate risk, which was already off the charts coming from such a low 2020 base in terms of yield – it’s a convexity nightmare. Interest rate hikes today – hand in hand with a strong U.S. Dollar – carry 100x the destructive power than the Carter – Reagan era.”
USAGOLD note: The impact of Fed policy decisions stretches far beyond U.S. borders. MacDonald estimates global bank balance sheets are stressed to the tune of $20-$30 trillion in mark to market losses from an array of assets “in the middle of the worst emerging market crisis in decades.” If the Fed stays the course on tightening, he says to “take the tragedy in Sri Lanka and multiply it by ten.” Unintended consequences……
The post Today’s top gold news & opinion first appeared on Today’s top gold news and opinion.