Investment Markets Overview — W/E 18th September 2015

Pretend and Extend,” appeared not to work this week as the Federal Open Market Committee Chair, “Queen Janet,” announced no change to the Fed funds target rate, which remained at 0.25% for an 82nd consecutive month. The “time extension” has been blamed over concerns on US unemployment, which is now fixed according to the “official” figures, to concerns on inflation and sub-par economic growth, or rather the lack of it, despite $US Trillions of QE that purportedly would solve this, and is now cited as concerns over China and the increase of market volatility of late. The “pretence” that the Fed and every other central bank on the planet “know what they are doing and are in control of little matters like interest rates,” is starting to be exposed as either delusion, incompetence or just damn-right lies. The reality of course is that the market manipulation measures, such as QE and a rafter of other debt-led stimulus, stated to solve a debt-problem, has compounded the global over-capacity reality, increased market volatility and ensured that “market interest rates,” the ones that effect the real world are set to soar to far higher levels than either the Fed and their “believers’” would imagine. This has already started, as reminded within our most recent blog which shows the cost of US Treasury two-year borrowing having tripled since 2013 whilst demonstrating factually that the FOMC is not in control of market rates, nor ever have been, they follow them. Whilst we were proved wrong on the expectation for a rate-rise this week, along with many other forecasters, the rise when it comes will not be controlled or limited.

18 Sept 15 .

Subscribe to the Full Investment Markets Overview Newsletter which contains the following:-

Additional Commentaries:
•US economic data . . .
•Euro-Zone . . .
•The UK . . .
•Out East . . .
•The $US index . . .
•Within the commodities complex . . .
•Economic data due next week includes . . .

 Greece held its second general election this year over the weekend, its 6th since 2009, and its people voted for continuity ……

Charts:
1.  Indices Weekly
2. US Housing Starts V US Builder Sentiment
3. UK CPI V UK  PPI
4. B of J JGB Holdings V  Other JGB Holders
5. Commodity YTD  Moves

Table:

13 Indices, 11 columns of detailed information, for accurate analysis

“Unity and Realism Will Overcome Pretence.

Click Here to view Details of the full version of this Newsletter which includes full text and detailed

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