BIS Horseshoe Loves Barbarous Relic
“I am often asked, ‘what do central banks do?’ Or, a more penetrating question – usually from schoolchildren.” (Sir Jon Cunliffe)
Summary:
· The insolvent Swiss National Bank (SNB) intends to return to solvency by a process of financial asset price inflation rather than real economic price inflation.
· The action of the Swiss National Bank (SNB)is a global risk-on signal for developed economies’, ex-Ungoverned Kingdom (UK), asset prices.
· The action of the Swiss National Bank (SNB) confirms the recent behaviour of “He/She/They Gold”.
· The SNB will also embrace the digital currency debasement zeitgeist of the times.
· Rumour has it that the ECB also intends to return to solvency by the same method as the SNB.
· The Rumoured ECB return to solvency methodology is consistent with the central bank’s wider objective of enabling financial sector consolidation.
· The BOJ fulfils the Cabinet Office’s request to enable fiscal suppression with monetary base debasement.
· The action of the BOJ confirms the presence of a managed FX regime that maintains the appearance of US Dollar strength.
· “He/She/They Gold” is exclusively a central bank gender, with an exclusive agenda, that Mr. (Bond) Market and Mrs. (Equity) Market do not fully understand, yet.
· Mr. (Bond) Market is on a “steepening” learning curve.
· A happily consummated re-union, of Mr. (Bond) Market and Mrs. (Equity) Market, is beginning its correlated honeymoon period.
· The action of the Thai Central Bank confirms the recent behaviour of “He/She/They Gold”.
· The action of the Thai Central Bank confirms the presence of a managed FX regime that maintains the appearance of US Dollar strength.
· The action of the Thai Central Bank is a global risk-off signal for non-developed economies asset prices.
· The RBA’s latest global macro thesis has a golden frame.
· The BIS proudly advocates for a strong US Dollar whilst coordinating G7 currency debasement in the pursuit of central bank solvency.
· Data-confirmed “US Global Swing Producer” status is not a November Surprise.
· The Ungoverned Kingdom (UK) has reached the irreversible “Doom Loop” stage, of Uninvestability, that the disingenuous abolition of caps on banker bonuses completely fails to address.
· The UK “Doom Loop” is going to be a phase of “Glazernomics”, for the “Friends-and-Family Shorers”, before they are benched.
· The UK “Doom Loop” is a deliberate policy stance of saving the Government’s finances, and the global position of the City, at the expense of the domestic High Street Banks and the Main Street businesses that they finance.
· The UK Government can’t manage, what it can’t measure, and doesn’t want the reality to be published pre-election.
· Deputy Hauser implies that Modern Monetary Monopsony Theory (MMT) will be thrown into the “Doom Loop” into which NBFIs fall.
· POTUS frames current global macro threats as an accelerant, rather than a catalyst, for Western Hemispheric Friend-Shoring.
Extracts
· Central Bank insolvency is aligning with fiscal insolvency at a rapid pace in the global economy.
· The alignment of central bank and fiscal insolvency promotes the exclusive interest in financial stability policy.
· The interest in financial stability policy will enable the application of Modern Monetary Monopsony Theory (MMMT).
(Source: the Author)
· CBDC is fertile ground for monetary artificial insemination.
(Source: the Author)
· Mr. (Bond)Market is giving the “@1990s” thesis the “Mother of All Likes” with a Yield Curve Bull-Steepener.
· Mr. (Bond)Market’s price action is consistent with a new definition of full employment.
· Mrs. (Equity) Market is estranged from Mr. (Bond) Market, but he is right.
· A happily consummated re-union, of Mr. and Mrs. Market, will give birth to strongly and healthy correlated bond and equity market children.
· He/She/They Gold has the correct global macro view.
(Source: the Author)
· European financial instability may create the ECB’s desired financial sector consolidation, a pre-requisite for and pre-cursor to European Federalism.
(Source: the Author)
· The BOJ upholds globally coordinated MMMT, which is predicated on a managed foreign exchange rate system that maintains the appearance of US Dollar strength.
(Source: the Author)
· He/She/They Gold envisions a debased currency polycule that is artificially inseminated by Modern Monetary Monopsony Theory (MMMT).
· CBDC is fertile ground for monetary artificial insemination.
(Source: the Author)
· Chairman Powell informs Mr. Market that he has not price-discovered “Macklem Doctrine” by the desired process of a strong US Dollar, lower oil prices, and lower bond yields, as anticipated from the recent FOMC signalling.
(Source: the Author)
· Mr. (Bond)Market is giving the “@1990s” thesis the “Mother of All Likes” with a Yield Curve Bull-Steepener.
(Source: the Author)
· Chairman Powell informs Mr. Market that he has not price-discovered “Macklem Doctrine” by the desired process of a strong US Dollar, lower oil prices, and lower bond yields, as anticipated from the recent FOMC signalling.
(Source: the Author)
· Mrs. (Equity) Market is estranged from Mr. (Bond) Market, but he is right.
· A happily consummated re-union, of Mr. and Mrs. Market, will give birth to strongly and healthy correlated bond and equity market children.
· He/She/They Gold has the correct global macro view.
(Source: the Author)
· “Onshore US Swing Producer Status” is becoming a gang of two.
· “Onshore US Swing Producer Status” has swung, offshore, to underline American economic outperformance global-macro fundamentals.
(Source: the Author)
· Since the systemically important, and insolvent, UK banks are effectively nationalized, the next financial crisis will hit the NBFIs.
· Deputy Hauser, of the insolvent Bank of England, is preparing the precedent for Modern Monetary Monopsony Theory (MMMT) to bail out the insolvent NBFIs.
(Source: the Author)
· The “BRIC August Surprise” was surprised by the Managed Trade/FX regime on display at Jackson Hole.
· The US Dollar ascends another BRIC in the Wall of Worry.
· The US Dollar transcends the “Uninvestable” Great Wall of China.
· The stronger US Dollar takes the “+” out of OPEC+.
(Source: the Author)
· The “September Surprise” is happening.
· The “September Surprise” is US Dollar “Stronger for Longer”.
· The “September Surprise” triggers capital flight from what is perceived to be “Uninvestable” towards that which is “Shore-Friendly”.
· The surprised “Wave of Liquidity” will be a tailwind for “Hypergrowth”.
· A strong US Dollar mitigates the inflationary tailwind within the “Hypergrowth Phase”.
(Source: the Author)