Since the December FOMC meeting, when the Fed decided to once again embark on small asset purchases, otherwise known as QE, liquidity has improved. Mostly through the level of reserves in the banking system being boosted by the asset purchases. As previously mentioned, these actions will not prevent employment growth from declining. As the market is forward looking, gold and silver prices have soared in response to this policy change from the Fed. Consequently, at the January

In our previous market update we discussed the need for the Fed to restart quantitative easing, and at the December FOMC meeting they did just that. Although the asset purchases are small, this change in monetary policy will boost the total monetary base, reserves, and liquidity, but it will not prevent employment growth from declining, which may force the small asset purchases (QE), to become larger as employment weakens. Investors should keep in mind that QE began in 2008,

In the previous market update we discussed the current low level of bank reserves or liquidity in the financial system, which has so far forced the Federal Reserve to end quantitative tightening and consider re-starting quantitative easing. The U.S. financial system is currently experiencing a liquidity crisis. Asset prices are likely to face downward pressure until interest rates are cut, and quantitative easing is re-started to increase bank reserves/liquidity in the financ

There was no market update published for September, but we have a lot to cover through October. Buckle up, here we go.   There is a growing concern that America is becoming a centrally planned economy and financial market. Though we are not there yet, the signs are there and worth investigating.   Corporate profits have been following the total monetary base lower for the past six months. Without an increase in the monetary base, corporate profits will continue to decline. Th