The usual domestic analysis has its usual blinders on like a horse pulling a carriage in Central Park. Typically, this analysis blames everything on the Fed and remains clueless about international capital flows or trends. They argue that the S&P 500 doubled in value from November 2008 to October 2014, coinciding with the Federal Reserve […]
Fabric of Space Time QUESTION: Dear Mr.Armstrong, Do you think of cycles and time as the same thing and interchangeable? Is it time that defines the architecture of a cycle or a cycle that characterises what we know as time? A ANSWER: This is an interesting and very deep question. Recently, a group of scientists have […]
A very quick and easy approximation for π is 22/7 = 3.1428571… But as you can see, 22/7 is not exactly correct. In fact, π is not equal to the ratio of any two numbers, which makes it an IRRATIONAL NUMBER. An irrational number is a real number that cannot be written as a simple fraction. Irrational means […]
The central bankers are simply crazy, not evil. They are trying to steer the economy by utilizing this simpleton theory that if you make something cheaper, someone will buy it. Japanese and German cars managed to get a major foothold in the U.S. because the quality of U.S. manufacturers collapsed, thanks to unions. The socialist […]
QUESTION: Hi Mr. Armstrong, Some of your readers, me included, wonder how the Dow is going to get to 23,000 or more, especially as we go through an economic slowdown. This would suggest a P/E of around 23 or higher. Is the common thinking that would accompany such a move similar to past manias (tulipmania, […]
QUESTION: Do you think value investing is viable in today’s chaotic markets? Much appreciated KB ANSWER: No. Value investing has been a recipe for wild swings. If you do not have the stomach for long-term then it is not something to get involved in. It should also be noted that it resulted in bankruptcy pre-World […]
Perhaps one of the most enigmatic songs ever written was “American Pie” by Don McLean. For decades this song was debated as to what it meant. Most assumed it had to do with the collapse of society. That seemed to be the general consensus. After all, its famous lyrics seemed to imply the end of the […]
A reader has contributed these charts that demonstrate why the socialist agenda is destroying the world. As the reader points out: “It seems that the optimal govt spending (share) is max 35% (US, AUS), and not >50% like in Europe. Lower govt expenditure has doubled GDP at least in the recent history.” The socialists refuse to […]
QUESTION: Dear Martin Armstrong, I appreciate very much your economic analysis and read your blog nearly daily although I disagree with some of your political statements. In your last blog about Schengen you mention that “Everything is connected and nothing takes place in some isolated vacuum”. Obvious. According to me, and many others re-known economists […]
Trump took South Carolina with less than 40%. Bush just has the wrong name and should give up. The real reasons to worry are Cruz and Rubio, as both would differ little from electing Hillary. Nothing would pass their desks on taxes that they would not sign next year. So we are in a […]
