Not A Bear To Be Found

The unanimous opinion is that the stock market will rise another 10%-15% in 2015. Even with the DJIA down more than 300 points on Monday, January 5, analysts in the media said things like: “I don’t see anything that could derail this bull market.” Another one said: “I see no signs of excessive euphoria.” These are comments you usually hear near market tops.

Economists are looking for a strong economy in 2015. Apparently they think the major parts of the world, China, Japan, Europe and Russia can go into recession and the U.S. will be immune. Bring out the

Japan In Recession: Warnings Of A Global Financial Crisis

The major central banks have pursued a “zero interest rate policy” known as ZIRP, since the financial crisis of 2008-2009. More than $10.5 trillion of artificial credit were created. Has this unprecedented policy, never before seen in history, caused sustainable economic recoveries?

The evidence says: “No way.”

No recession, not even the Great Depression, has seen such anemic economic growth. Looking at it scientifically, instead of as an economist, we must ask, “Have central bank efforts to ‘stimulate’ actually done the opposite?” Has ZIRP actually contributed to global deflation?