Central Banks are like the giant gorilla of the investment world. Everyone thinks they can do anything they want. But can they? Or are they subject to the laws of the universe just like everyone else? They do wield a lot of clout for a day or so when a new announcement comes out but do they really have a lasting effect on the markets? In this article Mark Galasiewski of Elliott Wave International gives us a look at what the effect of the Central Banks really is. -- Editor Think That Central Banks Move the Markets? Think Again. By Mark Galasiewski The following is excerpted from Elliott Wave International’s Global Market Perspective. Conventional wisdom says that central banks can … [Read more...]
Why the Bailout Won’t Work
By Andrew Gordon The economy is now staring eyeball-to-eyeball with an activist U.S. government. It will legislate, reform, supervise, bully, give out money like cotton candy and get concessions in return. It will encourage technological development in environmental and other “future” industries. It will seek sources of energy other than the oil and gas we get from Mexico, Canada and OPEC. And it will put generous sums of money behind these initiatives. The Obama government emphatically does not want banks to sit on the money they get from the government. Nor do they want it to go to shareholders in the form of dividend payments. This is why I look for more companies to cut their … [Read more...]
Goodbye M3 – What is the Government hiding?
by Tim McMahon, Editor I'm surprised we haven't heard much in the news about this but as of March 23rd 2006 the government will no longer be publishing the M3 money supply data. Most people probably say "Who Cares?" Right? But you should care! And here's why: "The Federal Reserve tracks and publishes the money supply measured three different ways-- M1, M2, and M3. These three money supply measures track slightly different views of the money supply. The most restrictive, M1, only measures the most liquid forms of money; it is limited to currency actually in the hands of the public. This includes travelers checks, demand deposits (checking accounts), and other deposits against … [Read more...]
