Peak Debt – What Peak Debt?

Peak Debt is in essence the point at which a sovereign nation reaches its maximum indebtedness and cannot afford to service the debt anymore, thus prompting a reduction in the debt (principal). So, Europe proved yesterday with the uplift of the EFSF (European Financial Stability Fund) from its current base of €440bn to €1tr (boosting … Continue reading Peak Debt – What Peak Debt?

I blame John Maynard Keynes (JMK)

Ever since the Great Depression and JMK’s ‘The General Theory of Employment, Interest and Money (1936)', have we had more intense government interference and hence taxation in most advanced economies.  Thank you JMK. But seriously, how much is too much?  There must be value in controlling fiscal policy, monetary policy and (social) employment policy, but is … Continue reading I blame John Maynard Keynes (JMK)

US Treasuries – A steady erosion in confidence?

For today's brief analysis of the US Treasuries (T-Bill) Yield rates, we constructed the chart and table below utilising data from the US Treasury official site. We took a point in time being mid August for 5 consecutive years from 2006 through to 2011 and compared the 1-month through to 30 Year T-Bill Yield Curves. As can … Continue reading US Treasuries – A steady erosion in confidence?