Category: Economy

With the market action during the last few weeks, many investors have been operating in panic mode; subscribers to Robert Prechter’s Elliott Wave Theorist haven’t. Why? Because they were prepared. Elliott Wave International prepared them for the 2007-2009 crisis, and they did it again. In fact, in the calm of Aug. 18, Bob wrote a READ MORE

Is the debt bomb about to go off? The yields on U.S. Treasuries and European sovereign debt have risen sharply in a relative short time. Bond prices trend inversely to yields — which means debt portfolios have suffered substantial losses. From mid-April through May 6, yield on German 10-year bunds spiked 47 basis points. Yields READ MORE

The “Big Lie” About the U.S. Jobs Picture Some 30 million people are either out of work or severely underemployed Get Your FREE Special Report: What You Need to Know NOW About Protecting Yourself from Deflation » The financial media heve been featuring stories with an upbeat outlook for the U.S. economy. For example: The READ MORE

Editor’s note: This article is excerpted from “The State of the Global Markets 2015 Edition,” a comprehensive report by Elliott Wave International, the world’s largest independent market-forecasting firm (data through December 2014). You can download the full, 53-page report here — 100% free. In its November issue, published on Oct. 31, EWI’s European Financial Forecast READ MORE

After decades of deflation in Japan, we thought there was hope and the deflating money supply and falling prices were gone. But during the last two quarters we once again witnessed relentless deflationary pressure in Japan despite record stimulus that promised inflation. Well, inflation is missing in action. Deflation still rocks the nation! Surprised? Why READ MORE

While the stock market has recently seen all time highs in the the United States, despite Federal Reserve’s quantitative easing runs, inflation has been mute. In fact there is talk that FED may just keep printing money if deflation continues to be a concern! Across the ocean, money printing has continued for some years as READ MORE

People worry. Sometimes it helps, sometimes there is nothing we can do. I came across some research on the subject of worry. Here’s how it was presented: Things People Worry About: things that never happen – 40% things which did happen that worrying can’t undo – 30% needless health worries – 12% petty, miscellaneous worries READ MORE

FED rate is at 0% and some people are worried about inflation that may come as the recovery takes hold. Some other people believe deflation is the problem and FED rate should stay at 0%. So, is it really the FED who sets the interest rates in an economy? Utimately, FED does not control the READ MORE

What Can Movies Tell You About the Stock Market? The following article is adapted from a special report on “Popular Culture and the Stock Market” published by Robert Prechter, founder and CEO of the technical analysis and research firm Elliott Wave International. Although originally published in 1985, “Popular Culture and the Stock Market” is so READ MORE

The similarities between Greece and pre-WWII Germany are striking Extreme sentiments threaten Europe. Nazi salutes. Praise for Adolf Hitler. Swastika-like banners. Now, before you write off this warning as a run-of-the-mill, Nazi-name-dropping scare tactic, consider this recent report from the Socionomics Institute, a U.S.-based think tank that studies global trends in social mood. Here’s an READ MORE

History shows that the U.S. should pay attention to economies in Europe The economy has been sluggish for five years. There’s no shortage of chatter about “why,” yet few observers mention deflation. One exception is a hedge fund manager who spoke up at the recent Milken Institute Global Conference. The presentation by Dan Arbess, a READ MORE

“Localities have chopped 535,000 positions since September 2008…” USA Today (10/18) Cuts in government services became conspicuous after the 2007-2009 financial crisis. The first edition of Robert Prechter’s Conquer the Crash saw this coming, even though the book published nearly a decade ago: “Don’t expect government services to remain at their current levels…The tax receipts READ MORE

Bank failures continue to increase every year since the recession begun. FDIC guarantee is still 250,000 dollars. But if dominos start falling, will FDIC be able to guarantee your bank accounts? Or should you consider looking into the safety of your own bank? World’s 15 Biggest Banks Get Downgraded Another one of Robert Prechter’s Conquer READ MORE

Why risk in the rebalanced portfolio is getting bigger Surprisingly, after the great stock market run of 1980s and 1990s, a decade of ups and downs in stocks left bonds ahead. Yes, bonds have outperformed stocks for the last 30 years. But how long can the bond miracle last? Bonds are deemed to be stable READ MORE

In 2008, after a day of major crash George Bush went on TV and said a trillion dollars of wealth has just disappeared. Is that really true? Is it really the case that people had a combined trillion dollars that just evaporated when the market crashed? How Does Money Disappear? The bursting of the “debt READ MORE