The following is the opening segment to this week’s premium letter, NFTRH 242. The balance of #242 went on to discuss the technical status of US and global stock markets, key commodities, the current status of ‘inflation expectations’, precious metals and currencies; all in detail.
Taper to Carry
Last week we introduced the theoretical 'taper to carry' scenario whereby the Federal Reserve would indeed 'have the balls' to begin the end of traditional QE and transition the inflation via a new set of mechanics. Mind you, we still get inflation under this scenario, but it would be less stealth and more honest and obvious to the public. Here are the theoretical components of the play… Continue reading "QE 'Taper' to T Bond 'Carry Trade'"