Juggling Dynamite

The stock market has ignored the real economy over the past few months and so far, has ignored the impact of the upcoming sequester. But the ripple effect of budget cuts going into effect March 1 will compound to hurt already weak GDP in 2013.Here is a direct link.

I agree with Grant’s take that Central Banking has now gone completely rogue as PHD’s believe their theories can perpetually outsmart and thwart free market forces. Such hubris is destined to end the hard way. I see no practical way to return to a gold standard, but some objective monetary anchor does seem necessary to reign in run away policy.

James Grant, founder & editor of Grant’s Interest Rate Observer, predicts that the result of recent Federal Reserve action will prompt a return to the gold standard for the United States.Here is a direct link.

Time for a chuckle…
Here is a direct link.