Debt Bomb

Is the Bank of Japan Finally Losing Control?

While we like to focus on the US Federal Reserve (the Fed) because it controls the global reserve currency (the US dollar) and therefore is the most important Central Bank in the world… the fact is that it is Japan’s Central Bank, the Bank of Japan (BoJ), that has been leading the current course of Central Bank insanity for the better part of two decades.

The Fed first cut rates to ZERO in 2008. The BoJ did this back in 1999. Similarly, the Fed first launched QE in 2008. The BoJ did this back in 2000.

Put simply, everything the Fed has been trying, the BoJ has got over 16 years’ experience with. As crazy as Fed monetary policy has been, the BoJ surpassed it by many multiples years ago.

To whit, the BoJ has bought so many assets via QE that today:

• The BoJ’s balance sheet is roughly the size of Japan’s GDP.
• The BoJ is a top-10 shareholder in 40% of Japan’s companies.
• The BoJ buys more Japanese stocks than the rest of the world does.

Put simply, the BoJ and its policies are beyond insane. We’re talking about a Central Bank that has essentially monetized Japan’s bond market and stock markets to a degree few thought was possible.

This has lead many to ask… when does this gigantic mess finally start to blow up?

The answer is that it might be happening now.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

Monetary Policy only functions as long as the market has faith in the credibility of the Central Bank employing it. By the look of things, the BoJ is now losing that credibility.

Two weeks ago, the BoJ floated the idea that it would be targeting a yield of 0.1% on 10-year Japanese Government Bonds. This represented an increase in the yield target from 0% to 0.1%.

Japanese Government Bond yields have since begun to break out above this level multiple times… forcing the BoJ to repeatedly state that it would buy “unlimited” bonds to maintain this level.

Again, just so you don’t overlook the significance of this… the bond market IGNORED the BoJ’s statements of where it wanted bond yields to the point that the BoJ had to DIRECTLY intervene to buy bonds in a bid to get the market under control.

This is the first sign that the BoJ is starting to lose control of its bond market. Again, we have a Central Bank announcing policy that the bond market is ignoring… resulting in said Central Bank being forced to DIRECTLY intervene on a daily basis.

This is the beginning of the end for Japan. What’s coming will take time to unfold, but a major Central Bank is beginning to lose control.

On that note, we are putting together an Executive Summary outlining all of these issues as well as what’s coming down the pike when the Everything Bubble bursts.

It will be available exclusively to our clients. If you’d like to have a copy delivered to your inbox when it’s completed, you can join the wait-list here:

https://phoenixcapitalmarketing.com/TEB.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

Is the Bank of Japan Finally Losing Control?

While we like to focus on the US Federal Reserve (the Fed) because it controls the global reserve currency (the US dollar) and therefore is the most important Central Bank in the world… the fact is that it is Japan’s Central Bank, the Bank of Japan (BoJ), that has been leading the current course of Central Bank insanity for the better part of two decades.

The Fed first cut rates to ZERO in 2008. The BoJ did this back in 1999. Similarly, the Fed first launched QE in 2008. The BoJ did this back in 2000.

Put simply, everything the Fed has been trying, the BoJ has got over 16 years’ experience with. As crazy as Fed monetary policy has been, the BoJ surpassed it by many multiples years ago.

To whit, the BoJ has bought so many assets via QE that today:

• The BoJ’s balance sheet is roughly the size of Japan’s GDP.
• The BoJ is a top-10 shareholder in 40% of Japan’s companies.
• The BoJ buys more Japanese stocks than the rest of the world does.

Put simply, the BoJ and its policies are beyond insane. We’re talking about a Central Bank that has essentially monetized Japan’s bond market and stock markets to a degree few thought was possible.

This has lead many to ask… when does this gigantic mess finally start to blow up?

The answer is that it might be happening now.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

Monetary Policy only functions as long as the market has faith in the credibility of the Central Bank employing it. By the look of things, the BoJ is now losing that credibility.

Two weeks ago, the BoJ floated the idea that it would be targeting a yield of 0.1% on 10-year Japanese Government Bonds. This represented an increase in the yield target from 0% to 0.1%.

Japanese Government Bond yields have since begun to break out above this level multiple times… forcing the BoJ to repeatedly state that it would buy “unlimited” bonds to maintain this level.

Again, just so you don’t overlook the significance of this… the bond market IGNORED the BoJ’s statements of where it wanted bond yields to the point that the BoJ had to DIRECTLY intervene to buy bonds in a bid to get the market under control.

This is the first sign that the BoJ is starting to lose control of its bond market. Again, we have a Central Bank announcing policy that the bond market is ignoring… resulting in said Central Bank being forced to DIRECTLY intervene on a daily basis.

This is the beginning of the end for Japan. What’s coming will take time to unfold, but a major Central Bank is beginning to lose control.

On that note, we are putting together an Executive Summary outlining all of these issues as well as what’s coming down the pike when the Everything Bubble bursts.

It will be available exclusively to our clients. If you’d like to have a copy delivered to your inbox when it’s completed, you can join the wait-list here:

https://phoenixcapitalmarketing.com/TEB.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

Is the Bank of Japan Finally Losing Control?

While we like to focus on the US Federal Reserve (the Fed) because it controls the global reserve currency (the US dollar) and therefore is the most important Central Bank in the world… the fact is that it is Japan’s Central Bank, the Bank of Japan (BoJ), that has been leading the current course of Central Bank insanity for the better part of two decades.

The Fed first cut rates to ZERO in 2008. The BoJ did this back in 1999. Similarly, the Fed first launched QE in 2008. The BoJ did this back in 2000.

Put simply, everything the Fed has been trying, the BoJ has got over 16 years’ experience with. As crazy as Fed monetary policy has been, the BoJ surpassed it by many multiples years ago.

To whit, the BoJ has bought so many assets via QE that today:

• The BoJ’s balance sheet is roughly the size of Japan’s GDP.
• The BoJ is a top-10 shareholder in 40% of Japan’s companies.
• The BoJ buys more Japanese stocks than the rest of the world does.

Put simply, the BoJ and its policies are beyond insane. We’re talking about a Central Bank that has essentially monetized Japan’s bond market and stock markets to a degree few thought was possible.

This has lead many to ask… when does this gigantic mess finally start to blow up?

The answer is that it might be happening now.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

Monetary Policy only functions as long as the market has faith in the credibility of the Central Bank employing it. By the look of things, the BoJ is now losing that credibility.

Two weeks ago, the BoJ floated the idea that it would be targeting a yield of 0.1% on 10-year Japanese Government Bonds. This represented an increase in the yield target from 0% to 0.1%.

Japanese Government Bond yields have since begun to break out above this level multiple times… forcing the BoJ to repeatedly state that it would buy “unlimited” bonds to maintain this level.

Again, just so you don’t overlook the significance of this… the bond market IGNORED the BoJ’s statements of where it wanted bond yields to the point that the BoJ had to DIRECTLY intervene to buy bonds in a bid to get the market under control.

This is the first sign that the BoJ is starting to lose control of its bond market. Again, we have a Central Bank announcing policy that the bond market is ignoring… resulting in said Central Bank being forced to DIRECTLY intervene on a daily basis.

This is the beginning of the end for Japan. What’s coming will take time to unfold, but a major Central Bank is beginning to lose control.

On that note, we are putting together an Executive Summary outlining all of these issues as well as what’s coming down the pike when the Everything Bubble bursts.

It will be available exclusively to our clients. If you’d like to have a copy delivered to your inbox when it’s completed, you can join the wait-list here:

https://phoenixcapitalmarketing.com/TEB.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

The Powell Fed has decided to embark on an aggressive tightening schedule, with five more rates hikes while also draining an amount equal to Sweden’s GDP in liquidity over the next 18 months.

The Fed believe it can do this because the economy is strong and inflation is rising. However, it has failed to account for the impact on the financial markets/corporate sector.

Which brings us to Exhibit A:

The $USD has broken out to the upside against all major currency pairs.

Going into 2018, the $USD was collapsing. But once the Fed’s QT program increased to $30 billion per month in April 2018, we saw a sharp the $USD erupt higher against the Euro (UUP:FXE), Japanese Yen (UUP:FXY), British Pound (UUP:FXB) and Swiss Franc (UUP: FXF). This caused the $USD to break downtrends in all major currency pairs (see purple square in chart below).

This was a gamechanger. It shifted the system towards a strong $USD trajectory.

Under normal circumstances, this would be problematic in that it would put pressure on US trade as well as hurt profit margins for corporates (44% of corporate revenues come from overseas).

However, we also have to consider the US’s debt situation today.

The US has over $20 trillion in public debt, giving it a Debt to GDP ratio of 105%. And this is growing as the US deficit swells courtesy of tax cuts, combined with President Trump’s Keynesian spending (infrastructure, and other programs). Indeed, the US plans to run a $1 TRILLION deficit in 2019.

Under these circumstances, a strong $USD is a MAJOR problem. When you borrow in $USD (issue US denominated debt) you are effectively SHORTING the $USD. Which means that with every tick higher in the $USD, it is becoming more and more difficult for the US to fund its debt expenses.

Throw in the fact that the US debt markets are beginning to drop, forcing yields higher (which again means it’s becoming more expensive for the US to finance its debt loads) and you’ve got the makings of a REAL crisis.

There is only one real solution to this: a weak $USD. Every week that the Fed waits before backtracking on its current policies is another step towards a debt crisis in the US.

We offer a FREE investment report outlining when the bubble will burst as well as what investments will pay out massive returns to investors when this happens. It’s called The Biggest Bubble of All Time (and three investment strategies to profit from it).

We made 1,000 copies to the general public.

As I write this there are fewer than 100 left.

To pick up your FREE copy…

CLICK HERE!

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

The single most important bond in the world is the 10-Year US Treasury bond.

This bond represents the “risk free” rate of return for a total economic cycle (roughly 10 years) denominated in the global reserve currency (the $USD).

Put simply, this is THE bond to watch if you want to keep an eye on how the financial system is acting. It is the bedrock for all risk… and its yield represents rate of return against which all risk assets are priced/ valued.

With that in mind, we need to note that the yield on the 10-Year US Treasury has broken ABOVE its long-term 20-year bull market trendline.

This is a MAJOR problem. And the Fed is going to “fix” it by crashing stocks.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

The US financial system has over $60 trillion in debt securities sloshing around in it. ALL of this is priced based on the assumption that bond yields will continue to fall; which is why the fact that the yield on the 10-Year US Treasury is breaking out to the upside represents a true SYSTEMIC risk.

The fact is that the Fed HAS TO act to stop the bond bubble from bursting. And it’s going to do this by crashing stocks, and driving capital into the bond market to force yields lower.

This is why the Fed continues to hike interest rates and drain liquidity from the financial system via its now $40 billion per month QT program: the Fed HAS TO get bond yields back below their trendline.

So what does this mean?

The stock market is no borrowed time. Yes, stocks can still push to the upside based on pumping a handful of Tech stocks… but the BIG picture is that the Fed is trying to crash stocks to save bonds.

The time to prepare for this is NOW before the carnage hits.

On that note, we are already preparing our clients with a 21-page investment report that shows them FOUR investment strategies that will protect their capital when and if a stock market crash hits.

It’s called The Stock Market Crash Survival Guide… and it is available exclusively to our clients.

To pick up one of the 100 copies…use the link below.

https://www.phoenixcapitalmarketing.com/stockmarketcrash.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

The single most important bond in the world is the 10-Year US Treasury bond.

This bond represents the “risk free” rate of return for a total economic cycle (roughly 10 years) denominated in the global reserve currency (the $USD).

Put simply, this is THE bond to watch if you want to keep an eye on how the financial system is acting. It is the bedrock for all risk… and its yield represents rate of return against which all risk assets are priced/ valued.

With that in mind, we need to note that the yield on the 10-Year US Treasury has broken ABOVE its long-term 20-year bull market trendline.

This is a MAJOR problem. And the Fed is going to “fix” it by crashing stocks.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

The US financial system has over $60 trillion in debt securities sloshing around in it. ALL of this is priced based on the assumption that bond yields will continue to fall; which is why the fact that the yield on the 10-Year US Treasury is breaking out to the upside represents a true SYSTEMIC risk.

The fact is that the Fed HAS TO act to stop the bond bubble from bursting. And it’s going to do this by crashing stocks, and driving capital into the bond market to force yields lower.

This is why the Fed continues to hike interest rates and drain liquidity from the financial system via its now $40 billion per month QT program: the Fed HAS TO get bond yields back below their trendline.

So what does this mean?

The stock market is no borrowed time. Yes, stocks can still push to the upside based on pumping a handful of Tech stocks… but the BIG picture is that the Fed is trying to crash stocks to save bonds.

The time to prepare for this is NOW before the carnage hits.

On that note, we are already preparing our clients with a 21-page investment report that shows them FOUR investment strategies that will protect their capital when and if a stock market crash hits.

It’s called The Stock Market Crash Survival Guide… and it is available exclusively to our clients.

To pick up one of the 100 copies…use the link below.

https://www.phoenixcapitalmarketing.com/stockmarketcrash.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

The single most important bond in the world is the 10-Year US Treasury bond.

This bond represents the “risk free” rate of return for a total economic cycle (roughly 10 years) denominated in the global reserve currency (the $USD).

Put simply, this is THE bond to watch if you want to keep an eye on how the financial system is acting. It is the bedrock for all risk… and its yield represents rate of return against which all risk assets are priced/ valued.

With that in mind, we need to note that the yield on the 10-Year US Treasury has broken ABOVE its long-term 20-year bull market trendline.

This is a MAJOR problem. And the Fed is going to “fix” it by crashing stocks.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

The US financial system has over $60 trillion in debt securities sloshing around in it. ALL of this is priced based on the assumption that bond yields will continue to fall; which is why the fact that the yield on the 10-Year US Treasury is breaking out to the upside represents a true SYSTEMIC risk.

The fact is that the Fed HAS TO act to stop the bond bubble from bursting. And it’s going to do this by crashing stocks, and driving capital into the bond market to force yields lower.

This is why the Fed continues to hike interest rates and drain liquidity from the financial system via its now $40 billion per month QT program: the Fed HAS TO get bond yields back below their trendline.

So what does this mean?

The stock market is no borrowed time. Yes, stocks can still push to the upside based on pumping a handful of Tech stocks… but the BIG picture is that the Fed is trying to crash stocks to save bonds.

The time to prepare for this is NOW before the carnage hits.

On that note, we are already preparing our clients with a 21-page investment report that shows them FOUR investment strategies that will protect their capital when and if a stock market crash hits.

It’s called The Stock Market Crash Survival Guide… and it is available exclusively to our clients.

To pick up one of the 100 copies…use the link below.

https://www.phoenixcapitalmarketing.com/stockmarketcrash.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

The single most important bond in the world is the 10-Year US Treasury bond.

This bond represents the “risk free” rate of return for a total economic cycle (roughly 10 years) denominated in the global reserve currency (the $USD).

Put simply, this is THE bond to watch if you want to keep an eye on how the financial system is acting. It is the bedrock for all risk… and its yield represents rate of return against which all risk assets are priced/ valued.

With that in mind, we need to note that the yield on the 10-Year US Treasury has broken ABOVE its long-term 20-year bull market trendline.

This is a MAJOR problem. And the Fed is going to “fix” it by crashing stocks.

—————————————————————-

A Select Group of Traders Are CRUSHING the Market   By 25%… With Just 1 Trade Per Week

Our options trading system is on a HOT streak: 12 of our last 14 trades were double digit winners!

Don’t believe me?

You can see EVERY trade we’ve made this year HERE.

As a result we’re now up 29% this year alone… beating the S&P 500 by an astonishing 25%.

Best of all, this system couldn’t be easier: we only trade one trade, once per week… and we’re CRUSHING the market.

To join us today, take out a 60 day trial subscription.

If you’re not seeing SERIOUS returns within the first 60 days, we’ll issue a full refund, NO QUESTIONS ASKED.

To take out a trial subscription…

CLICK HERE NOW!!!

—————————————————————-

The US financial system has over $60 trillion in debt securities sloshing around in it. ALL of this is priced based on the assumption that bond yields will continue to fall; which is why the fact that the yield on the 10-Year US Treasury is breaking out to the upside represents a true SYSTEMIC risk.

The fact is that the Fed HAS TO act to stop the bond bubble from bursting. And it’s going to do this by crashing stocks, and driving capital into the bond market to force yields lower.

This is why the Fed continues to hike interest rates and drain liquidity from the financial system via its now $40 billion per month QT program: the Fed HAS TO get bond yields back below their trendline.

So what does this mean?

The stock market is no borrowed time. Yes, stocks can still push to the upside based on pumping a handful of Tech stocks… but the BIG picture is that the Fed is trying to crash stocks to save bonds.

The time to prepare for this is NOW before the carnage hits.

On that note, we are already preparing our clients with a 21-page investment report that shows them FOUR investment strategies that will protect their capital when and if a stock market crash hits.

It’s called The Stock Market Crash Survival Guide… and it is available exclusively to our clients.

To pick up one of the 100 copies…use the link below.

https://www.phoenixcapitalmarketing.com/stockmarketcrash.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research