Tighter Lending Standards for Bank Loans

“Banks are becoming more cautious about lending” And the implications are bigger than just getting a loan Robert Prechter’s Last Chance to Conquer the Crash discusses the psychological aspect of a deflation: When the trend of social mood changes from optimism to pessimism, creditors, debtors, investors, producers and consumers all change their primary orientation from… Read more Tighter Lending Standards for Bank Loans

Real Estate Tide is Turning

THIS is Why the Real Estate Tide is Turning Here’s your next step to get a handle on the global property market. Treat houses as a consumption item — or simply as a place to live, and history shows that real prices will fluctuate only modestly over the decades. Treat houses as an investment, and… Read more Real Estate Tide is Turning

Crypto Winter Update

Cryptos: Welcome to the “Lunatic Fringe” A crypto hedge fund going all the way down to $0 is one way you know it’s “a Grand Supercycle peak” The bankruptcy of crypto broker Voyager Digital has been widely reported. Now, another crypto investment “bites the dust.” This time — it’s Three Arrows Capital (3AC) — a… Read more Crypto Winter Update

Wipeout of Green Bonds

Wipeout! New Update on Our “Green Bond” (ESG) Forecast Excessive euphoria in financial markets is usually a big reason to be “skeptical” Environmental, Social and Governance bonds (ESG) — also called “green” bonds — are offered by companies which want to advance the causes of social justice, social inclusion and green technology. This form of… Read more Wipeout of Green Bonds

How to Navigate a Bear Market

Market action this year has hurt A LOT of people. Cryptos. Meme stocks. Tech stocks. We’ve seen some huge percentage declines — all against a backdrop of historic leaps in interest rates and inflation. Lifestyles irrevocably changed, not for the better. Economists missed it. The Fed missed it. Politicians missed it. But a few folks… Read more How to Navigate a Bear Market

Scary Part Just Ahead

Stocks: Is the Really Scary Part Just Ahead? Here’s one of the actions which investors take when they get “rattled” Big daily selloffs have occurred since the stock market’s downtrend began in January. For instance, on May 18, the Dow Industrials closed lower by 1,161 points — a 3.6% drop. The S&P 500 shed 4%… Read more Scary Part Just Ahead

The Reversal in Interest Rates

Interest Rates: The Warning That Few Wanted to Heed Here’s an update on this “hugely dangerous bet” Back in mid-2020, a common sentiment toward interest rates was that they would stay historically low for the foreseeable future. Indeed, in July of that year, no less than the Bank of Canada governor said (BNN Bloomberg): ‘Interest… Read more The Reversal in Interest Rates

Are Stocks Overvalued?

Are stocks overvalued? A quick look at the long term perspective. Take a minute and look at a valuation chart for the stock market: What we have here on the X axis is the bond yield/stock yield ratio for the S&P 400 companies. Sounds fancy, but all it means is that the further you go… Read more Are Stocks Overvalued?