Odeon Capital chief financial strategist Dick Bove said the Fed is “out of control” and is “printing money like wild men.” While on “Mornings with Maria,” he said that he believes the Fed has “lost control of the money supply,” which allowed capital markets to thrive in Q1. Bove also said that there was an “incredible” amount of accounting manipulation by the banks. Other experts say gold and silver buyers can celebrate, as volatility appears to be back in metals.
Fox Business/Fox Business Staff
The Federal Reserve is out of control, bank analyst Dick Bove says
The Federal Reserve is “out of control,” and “printing money like wild men,” Odeon Capital chief financial strategist Dick Bove told FOX Business’ “Mornings with Maria” while discussing bank earnings.
“Now going forward, what should you be looking at? You should be looking at the fact that, again, the Fed is out of control. It’s printing money like wild men. Basically, the M2 is up 26% year-over-year. And that money all goes into the banks and the banks, if the economy is going to be very strong in the second half, which I believe it will be, the banks are going to lend that money in core banking business will do better. So not such a good quarter that we’ve seen. Very good quarters coming up.”
You can read and watch the full interview, here.
Kitco News/Todd ‘Bubba’ Horwitz
Volatility Back in gold and silver
Gold and silver buyers should start celebrating in a small way for now. Volatility appears to be back in the metals, which in this case should be a bullish sign. The volatility should lead to higher prices in gold and silver, Kitco News reports.
Although we are still short silver, it’s apparent that more than likely, the bottoms are in, and a rally is on its way. We can’t predict exactly when, but it really doesn’t matter. We are only trying to get the bulk of the move. We never sell tops or buy bottoms; we are always waiting for our algorithm to trigger a new trade.
We are already long gold since the end of last week. Our next target in gold is $1,800. We believe it can go higher but will not make ridiculous calls. We can only watch and look for one level at a time. Predictors and Prophets always end up bust. Discipline and patience are the only way to trade.
Have your rules and never deviate from them. You will be a lot happier over time. The one great call you could make will costs you thousands in opportunity costs later.
CNN Business/Julia Horowitz
‘Dire warning’ for the planet: Coal is powering the economic recovery
Global carbon dioxide emissions are set to surge dangerously this year as the global economy undergoes a huge recovery.
In a new report, the International Energy Agency estimates that carbon emissions from energy use are on track to spike by 1.5 billion tonnes in 2021, as heavy coal consumption in Asia, and in China, in particular, outweighs rapid growth in renewable sources. That would be the second-largest annual increase in energy-related emissions in history.
“This is a dire warning that the economic recovery from the Covid crisis is currently anything but sustainable for our climate,” Executive Director Fatih Birol said in a statement. “Unless governments around the world move rapidly to start cutting emissions, we are likely to face an even worse situation in 2022.”
The Paris-based group is sounding the alarm before 40 world leaders come together later this week for a two-day virtual summit on the climate crisis convened by President Joe Biden. Birol called it a “critical moment to commit to clear and immediate action.”
The United Kingdom will announce a steeper target for reducing carbon emissions ahead the summit, a government source confirmed to CNN Business on Tuesday. Prime Minister Boris Johnson will pledge to reduce UK emissions by 78% by 2035 compared to 1990 levels, the Financial Times reported on Monday.
As countries around the world locked down last year and people were instructed to stay at home to limit Covid-19 infections, emissions fell dramatically.
Continue reading, here.