“Feels a lot like the summer of 2020.”
Then again…
Fortunately, valuations continue to be irrelevant in a world of price-insensitive “passive” investing(?).
Central Banking 101
“As I look back [he confided to another American friend with an acrid nostalgia], it now seems that, with all the thought and work and good intentions which we provided, we achieved absolutely nothing…
I think we should have done just as much good if we had been able to collect the money and pour it down the drain…
By and large nothing that I did, and very little that old Ben [Strong] did, internationally produced any good effect—or indeed any effect at all except that we collected money from a lot of poor devils and gave it over to the four winds.”
Montagu Norman, Governor of the Bank of England from 1920 to 1944
The “Ben” above is Benjamin Strong, who served as Governor of the Federal Reserve Bank of New York for 14 years.
“The central banks and the governments have learned that there is one thing - and this is dangerous, obviously - but there's one thing to do. It's all they do anymore, right? Which is they just print money. That’s their savior, especially since '08. It's all they do. Anything gets weak, print money, Anything. It's all liquidity, liquidity, liquidity, liquidity. That's all they know how to do anymore, so that's going to be beneficial for gold over time.”
Gold, The Pet Rock
As an aside, having been on a number of podcasts and a few Spaces, the guest - in my experience - never has any say on the podcast title, which often has little or nothing to do with the guest's views, so keep that in mind. There are some great, sincere podcast hosts out there, and then there are a few who are just interested in using the guest for clicks. Fortunately I’ve only run into one of the latter (not included on my Substack).
And now, a Sarah Palin knife!
D vs R is Destroying Our Brains
So I'm told that "a stablecoin is a type of cryptocurrency that is designed to maintain a stable value, typically pegged to a specific reserve asset like a fiat currency such as the US dollar."
Well, that's not very stable, is it?
I guess this is an unstable coin. It’s worth a lot more now than $20.
Anyway, stablecoins hurt my brain, but Marvin Barth writes recently about them if you’re interested.1
“All price discovery is being done in server farms and dark pools by financial firms that haven’t had a losing day in many years.”
The usual eclectic mix below. Weekend beach reading.
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