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U.S. Dollar ? Review and Outlook
by Axel Merk and Kieran Osborne of Merk Investments, 4/14/11
We believe that continued U.S. dollar weakness may be a consequence of the diverging monetary approaches central banks are taking around the globe. While many international central banks have been on a tightening path, raising rates (i.e. Australia, Brazil, Canada, China, India, Norway, Sweden, to name a few), the U.S. Federal Reserve has been conspicuous in its continued easing monetary policy stance. Indeed, while other central banks have been shrinking the size of their balance sheets, the U.S. Fed?s balance sheet continues to expand on the back of ongoing quantitative easing policies.

ECB Takes Away Punch Bowl
by Axel Merk of Merk Investments, 4/7/11
Today, the European Central Bank raised its main refinancing rate by 0.25% to 1.25%. ECB President Trichet has long argued that its monetary policy is independent of the "extraordinary measures" put in place to support the financial system. However, it was only earlier this year that the market took Trichet's suggestions that he may raise rates seriously, even as the sovereign debt crisis remains unresolved. The role of a central bank is to take away the punch bowl when necessary, to pursue its mandate, not to be a cheerleader.

Does a Weak Dollar Cause Inflation?
by Axel Merk of Merk Investments, 4/5/11
Should investors be concerned that a weaker U.S. dollar causes inflation? The price at the gas pump should be a stark reminder that a weaker dollar may contribute to higher prices. Yet, economists tell us that food and energy inflation does not count. Why do economists have such a baffling sense of logic? Are economists really aliens in disguise, locked up in ivory towers? Let?s shed some light on the logic and why it may not merely be strange, but wrong.

U.S. Government: Evermore Reliant on Foreign Investors
by Kieran Osborne of Merk Investments, 3/15/11
Despite the Fed recently surpassing China as the largest owner of U.S. government debt, the U.S. remains heavily reliant on foreigners to fund the government?s ongoing fiscal largess. Geithner?s Treasury Department has firmly focused new issues at the mid to longer end of the yield curve. Despite the Treasury taking advantage of the ultra-low interest rate and funding environment, there are substantial refinancing issues over the near term; moreover, many of these maturing issues are foreign owned.

Fed and ECB - A World Apart
by Axel Merk of Merk Investments, 3/4/11
The U.S. Federal Reserve and the European Central Bank are divided by a common goal: price stability. Fed Chairman Bernanke has made it clear in his recent testimony and speeches that the Fed would react should food and commodity inflation lead to an increase in core inflation. The Fed is ready to R E A C T. We are not aware of any central bank that is proud of reacting, but rather acting preemptively to mitigate inflationary concerns; a central bank may often be forced to react, but to do so by design puts the cynical view that central bankers are too far behind the curve into a new light.

Disasters Rocking U.S. Dollar?
by Axel Merk of Merk Investments, 3/1/11
From earthquakes in New Zealand to revolutions in the Middle East, natural and man-made disasters are rocking the world. We are all too often made to believe that in times of crisis there?s a flight to the U.S. dollar. However, the U.S. dollar has instead had a rocky ride of its own thus allowing the crisis-ridden Eurozone to shine. What?s going on? Is there no crisis, or has the U.S. dollar lost its appeal as a safe haven?

Politics of Inflation
by Axel Merk of Merk Investments, 2/16/11
In arguing food inflation is not the Federal Reserve?s (Fed?s) fault, Fed Chairman Bernanke points the finger at everyone but him. Just as with a lot of Bernanke?s policies, his argument may hold in an academic setting, but the real world is a bit more complicated.

Reagan for President...of China!
by Axel Merk of Merk Investments, 2/3/11
China needs to re-balance its economy to tame inflationary pressures. To achieve this, portfolio manager Axel Merk provocatively suggests Ronald Reagan needs to become the president of China. This analysis discusses the Chinese renminbi.

Merk Commentary: Budget Battles Ahead
by William Poole of Merk Investments, 1/11/11
Along with other investors, I have many worries, but at the top of my list is the budget battle that will be fought in Washington, every state capital and most capitals of high-income countries abroad.

2011: Year of the Yellow Brick Road
by Axel Merk of Merk Investments, 1/6/11
As far as gold is concerned, the continued concerns over sovereign solvency - not the eurozone in particular, but globally, combined with the U.S drive to achieve growth at any cost, make the yellow metal worth considering. What's in your vault? Is your yellow brick road made of dreams or gold? Just because policy makers are dreaming, doesn't mean investors need to.
Results 101–110 of 110 found.