I was thinking that we are in the beginning of the deflationary phase with credit markets beginning to fail. But she raised an interesting point; if things start to fail central banks can move on and print more money.
Only when countries and corporations no longer can service near 0 interest rates this insanity will reach an end. Or if the money printing spills into the real economy, causing inflation (I can see this happening as a result of pension bail outs).
I think we are really far away from that point. That’s something that may last more than 20 years.
via macrovoices:
Erik Townsend and Patrick Ceresna welcome Nomi Prins to MacroVoices. Erik and Nomi discuss:
- Why has QE never led to runaway inflation?
- How has the market been propped up for 10 years without consequence?
- What does the ECB own today?
- The bank of Japan, their program and what it contains?
- Central banks around the world and how they compare?
- When does tapering occur on a global scale?
For the second featured interview Erik Townsend welcomes Pat Hemsworth to discuss:
- Why Saudi Arabia and Russia can’t make up their minds about oil prices?
- Iran sanctions, expectations and what they mean?
- Venezuela, production and what is next?
- OPEC, faking it till they make it?
- What is the forward curve telling us about the market?
h/t Dhosti