Rising Gold, Plunging Crude, Freezing Credit------The Tugg Speedman Market

In the film “Tropic Thunder,” the world called on Tugg Speedman (Ben Stiller) when the earth was on fire (asset bubbles) then went into a global freeze.

Yes, Tugg, the world is in a global freeze. Gold is on the rise again (>$1,200), European CDS (as measured by Portugal) are rising, while black gold (aka, crude oil) is falling below $27. Look at these prices since The Fed raised the Fed Funds target rate on December 16th.


European banks, like Deutsche Bank, are melting.


Global equity markets are in a state of global meltdown as well.


And the 10Y-2Y Treasury yield curve slope keeps on falling.


The prospect of negative interest rates (already in Europe) isn’t working.

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The problem, of course, is that Federal Reserve Chair Janet Yellen isn’t Tugg Speedman.

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Negative interest rates from Central Banks are truly worthy of Simple Jack.LrGt7JP

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