Chart usGOLD   Chart usSILVER  
 
Food for thought
Life is under no obligation to give us what we expect.
Margaret Mitchell  
Search for :
LATEST NEWS  :
MINING STOCKS  :
Subscribe
Write Us
Add to Google
Search on Ebay :
PRECIOUS METALS (US $)
Gold 1228.19-12.81
Silver 17.140.00
Platinum 1246.75-8.35
Palladium 768.303.00
WORLD MARKETS
DOWJONES 16694225
NASDAQ 444562
NIKKEI 15139-57
ASX 5370-3
CAC 40 413934
DAX 899049
HUI 183-2
XAU 75-1
CURRENCIES (€)
AUS $ 1.4428
CAN $ 1.4215
US $ 1.2644
GBP (£) 0.7891
Sw Fr 1.2066
YEN 136.6030
CURRENCIES ($)
AUS $ 1.1413
CAN $ 1.1242
Euro 0.7909
GBP (£) 0.6242
Sw Fr 0.9543
YEN 108.0390
RATIOS & INDEXES
Gold / Silver71.66
Gold / Oil15.26
Dowjones / Gold13.59
COMMODITIES
Copper 3.040.02
WTI Oil 80.500.37
Nat. Gas 3.62-0.04
Market Indices
Metal Prices
RSS
Precious Metals
Graph Generator
Statistics by Country
Statistics by Metals
Advertise on 24hGold
Projects on Google Earth
The Downside of Easy Money
Published : December 05th, 2012
159 words - Reading time : less than a minute
( 1 vote, 5/5 ) Print article
 
    Comments    
Tweet

 

 

 

 

Leaving aside the question of whether correlation equals causation, there appears to be a strong link between the level of U.S. interest rates and the overall health of the U.S. economy.

 



As the chart shows, the Federal Reserve-orchestrated slide in interest rates over the past three decades has been accompanied by a falling savings rate, a narrowing of the gap between personal income and expenditures, and a substantial increase in total credit market debt.

 

While there may be more to it than that, including government policies that favor debt over equity and a deregulation trend that encouraged bad behavior by banks and other financial intermediaries, one could readily conclude that the Fed’s current aggressive monetary stance is doing little to return the economy to good health.

 

In fact, the central bank’s policies may well be making things a lot worse than they already are.

 

 

This  is a brief commentary from Panzner Insights, my members-only website, which I posted yesterday:

 

 

Tweet
Rate :Average note :5 (1 vote)View Top rated
Previous article by
Michael J. Panzner
All articles by
Michael J. Panzner
Next article by
Michael J. Panzner
Receive by mail the latest articles by this author  
Latest comment posted for this article
Be the first to comment
Add your comment
TOP ARTICLES
Editor's picks
RSS feed24hGold Mobile
Gold Data CenterGold & Silver Converter
Gold coins on eBaySilver coins on eBay
Technical AnalysisFundamental Analysis

Michael J. Panzner

Michael J. Panzner is a 25-year veteran of the global stock, bond, and currency markets and the author of Financial Armageddon: Protecting Your Future from Four Impending Catastrophes, published by Kaplan Publishing.
Michael J. Panzner ArchiveWebsiteSubscribe to his services
Most recent articles by Michael J. Panzner
2/18/2013
2/16/2013
2/13/2013
1/7/2013
12/19/2012
All Articles
Comment this article
You must be logged in to comment an article8000 characters max.
 
Sign in
User : Password : Login
Sign In Forgot password?
 
Receive 24hGold's Daily Market Briefing in your inbox. Go here to subscribe or unsubscribe.
Disclaimer