The first article nicely summarizes Doug Nolan’s latest thinking on bubble dynamics:
“...the responsibility lies more generally with a deeply flawed monetary policy regime – a regime hopelessly locked in interest-rate manipulation and inflationism…At some point the inflationists should accept the reality that they are a big part of the problem – and not the solution. Is that what the bond market is beginning to tell us?”
“…We’re witnessing the same analytical errors today that were made in the post-tech bubble analysis: the willingness to inflate an even greater bubble for the cause of mitigating the pain from the so-called deflationary risks associated with a bursting of THE bubble. And with each reflation comes a heightened governmental role in both the markets and real economy – to the point where Washington is essentially backstopping the financial and economic systems.”
The second article centers around “the Coppock Indicator” which has a very good track record and just issued a buy signal. Paul does a great job of explaining the indicator and then contrasts it against Martin Armstrong.
Very informative, good charts, and cleverly written, I enjoyed reading it and think you will too. Hopefully Paul will keep sharing his work with us… Thanks for sharing Paul!
You can reach him at: firstname.lastname@example.org
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