Quote of the Day | 0517
the idea that fiat money is going to be worth more in ten or 20 years from now than it is today is delusional. The system doesn’t work like that.
If we were talking about a finite system of money such as gold or bitcoin, then, yes, I get it. But debt-based fiat money in an age of massive government overspending, unpayable debts and so many vested interests aiming to get inflation over 2%? CPI does not represent the value of money.
So when I look at negative government-bond yields in various parts of Europe, ten-year UK gilts yielding under 2%, and 30-year American bonds at under 3%, I’m incredulous.
It may be the ‘new normal’, but it would have been unthinkable once upon a time. It may go on – this is an extremely ‘protected’ (some might say ‘rigged’) market, but it will not go on forever.
Dominic Frisby, ‘Three bubbles that are ready to pop’
[x]#11866 fan zondag 17 mei 2015 @ 23:00:00
