We need MOAR stimulus!
Virus
- check
Vaccine
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Deflationary pressure
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What does crypto know that Gold, Oil, even the 10 year yield doesn't know?
I'll leave my Lions from LEO from some music from Remy (reason TV)
Can you believe this was from July 2011? 9 Years and not much has changed.
"Only $14 trillion? Wow, this is old... :("
For a chuckle I'll leave you with Remy's Bitcoin ;)
"A money like my last girl, completely virtual"
Just keep stacking ANTI-CENTRAL BANK instruments.. they know how to do only 1 thing.. and that's print MOAR!
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So few miss the deflationary picture that is taking place. They are looking up when they should be looking down.
A central bank never worries about inflation. Most believe that is because central banks love inflation and welcome it. That is completely false. Yes they do like some mild inflation but runaway inflation does not make them happy.
The difference is they have something they can do about inflation. It is the easiest thing for a central bank to stop. Simply blast interest rates through the roof and inflation is stopped. Of course, the economy is crushed at the same time but that takes care of inflation.
Deflation, on the other hand, that is something banks have no answer for. They can only try to print following the misguided beliefs of academics who tell them money printing will lead to inflation.
Sadly for the central banks, it does not. Instead, we get deflationary pressures as more money is going to service debt and less to innovation. Contracting economies only feed into this even more, repeating the cycle.
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They fear deflation more than inflation IMO.. and will 'print' their way out of debt. Awesome $100 bags of bread.
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Deflation destroys the House of Cards through Bankruptcy. The "fractional reserve" system can not withstand a deflationary crash.