Sentimental Thoughts

Bank of Japan Boosts Funds in System to Ease Credit” reports Bloomberg. So Central Banks are pumping the system with excess cash. But let’s consider this for a moment. If you lost money yesterday, you’ll get it back today. But if you have money today… it will be worthless tomorrow. Now for some reason that doesn’t sound fair.

Gold selling of hard after many traders used reserves to cover margin calls. It is interesting to consider how many traders even own gold. Eventually, the market will sell off lower while the gold has gone.

I find it quite interesting that every stock market on the planet sold off at least 2% today, except for Sweden which rose 2%. Something we don’t know about?

Some brilliant words written by Damian Reece for The Telegraph,

“Confidence is like oxygen. It is colourless, odourless and tasteless. You really appreciate its importance only when it’s not there.

Business is all about confidence. When it’s there in abundance economies grow, wealth is created and employment expands.

When confidence dissipates so does growth, economies go into reverse and people lose their jobs. We are witnessing the start of that second phase as confidence starts to leak out of markets, hissing out of the widening cracks in the financial system and into the ether.”

Have a great weekend!

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