gold, page-110676

Markets are slowly (quickly in some instances) reverting to where they would be if the central banks and governments hadn’t poured untold trillions of dollars over 15 years into economies to stoke asset bubbles and promote the ridiculous artificial ‘wealth effect’.

But at least we can comfort ourselves with the fact that - after all the QE, the interest rate suppression, unchecked credit growth, and massive deficit spending - the central banks and governments books will be utterly cooked with absolutely nothing to show for it.

Hang on, that doesn’t sound very good. I guess we need more of those ‘PhD’s at the Fed’ to try to figure out why what we said would happen for years and years in this forum has now happened.

While we let that ‘confederacy of dunces’ work it out, let’s consider the age old adage I posted here many times over the years -

‘After every credit fuelled boom there is a bust. The bigger the boom, the bigger the bust’.