US has significantly increase M1 supply on 2020 to ease credit by changing definition of broad money M2 to narrow money M1. Now US banking have ample of reserve currency however people refused to borrow money. Japan central has continued quantitative easing for decades buying country bonds and equities. Euro zone to follow on the moderate easing. While China and...
The chart compares how fast central bank prints out money and public banks lend out money to support their economy. China prints out more money and Chinese borrows more money than US counterpart. However most of China investment goes to properties instead of stock. Indonesia money supply grows almost the same rate as China, however borrowing is not popular as...
Nasdaq had come out as a big winner for the last decade of stock rally. The question is will it be the next winner in the years to come? Or will it drop like a rock from the cliff when the economy start to shake? Will 2008 event will return? If so when will it. So for time being will it continue to raise. If continue to shine, when will it start to dim? Any...
Many people thought that high inflation and high interest rate could crash the market. Unfortunately historical data prove it wrong. We have been in high inflation and high interest rate before between mid 70s and 80s. And the market doesn't seems to be impacted by the inflationary pressure. It just keep going up, even though may be the return is lower compared to...