COMMENT: Mr. Armstrong, I learn Reuters feedback this morning and so they mentioned “The greenback sank to a three-year low … the dollar down greater than 10% for the 12 months. If it stays that manner within the coming days it will likely be its largest first half of a 12 months fall for the reason that early Seventies – successfully the period of free-floating currencies.”
The exaggeration and bias within the monetary information have turn out to be outrageous. I’ve been on this subject for 30 years. By no means have I discovered the press so dishonest and politically pushed. They’re attempting to create the collapse of the greenback to overthrow Trump. That is just like the polls. They lie about every little thing.
REPLY: I absolutely agree. It makes me wish to stop and conceal below the covers, for they’re intentionally distorting the world, and every little thing they do is to push us into battle. I’m so sick of the exaggerations and lies, as they don’t care in regards to the folks, the nation, or our future. NOTHING – simply the second and find out how to win in any respect prices.
Right here is our Greenback Index again to 1902. It lets you see the actual pattern and put all of it in perspective. Under is the US Greenback Index, which started in 1988. It omitted the greenback excessive in 1985, to not point out the greenback decline into 1976.
Right here is CNN faking the information, standing within the deepest puddle they will discover, whereas the movie crew is just ankle deep. All the things is all the time the worst they will probably undertaking. They trash the greenback as a result of Trump needs to switch Powell with somebody who will decrease rates of interest. Sorry, Trump is a biased borrower, not a lender. So he seems to be at every little thing from just one facet of the desk. Europe entered unfavourable rates of interest in 2014, strip-mining pension funds and financial institution reserves. Decrease charges hurt savers for the good thing about debtors. That is all the time a one-sided view that by no means is sensible.
So let me see. Rates of interest rise in bull markets and all the time decline in bear markets. That’s actuality! Nevertheless, the press has one way or the other offered the concept that reducing charges is bullish for the inventory market. It’s all primarily based on Keynesian Economics, which was primarily based on Authorities Intervention following Karl Marx. This presumption that the federal government is able to managing the financial system below socialism is merely presumptuous. Why fear. The socialists will take every little thing, we’ll personal nothing, and be so excited, blissful, and grateful, for of their e-book, we’re too STUPID to know something anyhow.
Right here is the Nice Recession 2007-2009. The inventory market rises with RISING charges as a result of that exhibits there’s a demand for cash and investing. When charges decline and even went to NEGATIVE to punish folks for NOT investing, that’s the fact. That is precisely OPPOSITE of the nonsense the FAKE FINANCIAL NEWS experiences as a result of they don’t give a shit in regards to the fact. They should discover the deepest puddle to magnify every little thing.
There may be NO definitive rule that even a selected degree of rates of interest will influence that market. The strongest bull market was 1929 and there we see the bottom degree of rates of interest. The opposite influence is CAPITAL FLOWS. Fort 1929, all of the capital poured into the USA as a result of it was right here, hiding throughout World Struggle I. There was the primary G4 assembly in 1927 when the central bankers satisfied the US to decrease rates of interest, and that may power the cash to return to Europe. That failed.
If you happen to suppose the inventory market will DOUBLE, you’ll pay 20%.
If you don’t suppose it is going to rise by 1%, you’ll not pay 1%.
