Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Seeker Closing Report: Gold and Silver Edge Lower Again
By: Chris Mullen, Gold Seeker Report

GoldSeek Radio Nugget: President Niko Cacos, CEO, and Director of Blue Sky Uranium Corp. and Chris Waltzek
By: radio.GoldSeek.com

Ira Epstein's Metals Video 10 17 2018
By: Ira Epstein

Gold price steadies and rises as BIS intervention diminishes
By: Robert Lambourne

Take a Peek at What the Top 1 Percent Have in Savings
By: Frank Holmes

Why Conflicted Copper Shows Little Consensus
By: Mickey Fulp

Investor Alert: Is the Trump Agenda in Peril?
By: Stefan Gleason

One More Thing To Worry About, Saudi Edition
By: John Rubino

The Golden Implications of Total U.S. Deficits, Debt and Debt Service
By: Craig Hemke

Determining the Outlook for Mining Stocks? Look Deeper Than Others.
By: Przemyslaw Radomski, CFA

 
Search

GoldSeek Web

 
Global Liquidity, Credit And Flows


 -- Published: Tuesday, 27 March 2018 | Print  | Disqus 

By Gordon Long

Let's start by making sure we understand the terminology we will be using in our discussion today. Too many times I hear people use these terms in the wrong and often confusing context.

LIQUIDITY: is about AVAILABILITY of Money & Credit. This is the role of the central bankers, that is to ensure there is always sufficient but not excessive Money Supply available. Historically the problem was normally insufficient liquidity. In the last two decades it has become more a matter of too much liquidity causing the problems. Monetary policy too loose for too long a period of time. The role of the central bank had been to take away the punch bowl just as the party got going but before it got out of hand. Not the case today. As a matter of fact it seems quite the opposite - but that is for another discussion.

CREDIT & DEBT are simply two sides of the same coin:

CREDIT: Is about Lenders having the ABILITY and the WILLINGNESS to Lend.

DEBT: Is about the NEED for and have the COLLATERAL or credit rating to Borrow.

FLOWS: Is about where Money & Credit will go fully realizing it always goes where it is treated best.

We are going to explore all of these in the discussion on a Global context. This is another important point because we too often don't properly distinguish whether we are talking domestically or globally - too often assuming in America they are one and the same.

Today the Global context is critically important because as far as these terms are concerned there are no longer any borders and move at "light speed" around the globe as electronic "bits".

http://gordontlong.com/

 


| Digg This Article
 -- Published: Tuesday, 27 March 2018 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2018



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.