This past week saw an enormous outpouring of respect and admiration for Stephen Hawking upon his passing. In contrast to his frail health in life, his contributions to our understanding of the universe were prodigious and robust. Hawking’s elevation of rational and intellectual truth above all else, even his failing body, inspired a generation of science lovers. Perhaps, too, he represented something in desperately short supply in today’s world: intellectual integrity. Our lives are now fraught with easily-disproved fantasies, frauds and fictions being pushed to us through the media by institutions with deliberate agendas trying to engineer specific outcomes. Those of … Continue reading

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The only real constant to be found in both European and US politics is war.  A steady feature of both regions for the past 20+ years has been small, lucrative conflicts waged against countries unable to effectively defend themselves. It doesn’t seem to matter who’s in office in the US — Republican/Democrat, conservative/liberal — there’s a war machine constantly running. My concern is that there’s a building risk that one day that war machine is going to bust apart. And when it does, the long relative peace that the US and Europe have enjoyed (even as they’ve visited a lot … Continue reading

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One of our long-running themes here is that the truly historic and massive flows of gold from West to East is (someday) going to stop, for the simple reason that there will be no more physical bullion left to move. It’s just a basic supply vs. demand issue.  At current rates of flow, sooner or later the West will entirely run out of physical gold to sell to China and India.  Although long before that hard limit, we suspect that the remaining holders of gold in the West will cease their willingness to part with their gold. So the date … Continue reading

The global deflationary wave we have been tracking since last fall is picking up steam.  This is the natural and unavoidable aftereffect of a global liquidity bubble brought to you courtesy of the world’s main central banks.  What goes up must come down — and that’s especially true for the world’s many poorly-constructed financial bubbles, built out of nothing more than gauzy narratives and inflated with hopium. What this means is that the traditional summer lull in financial markets has turned August into an unusually active and interesting month. August, it appears, is the new October. Markets are quite possibly … Continue reading