Invest Offshore

Tag: Central bank

  • Canada’s Bond Market Has a New Buyer: Hedge Funds With Borrowed Money

    Canada’s Bond Market Has a New Buyer: Hedge Funds With Borrowed Money

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    by

    Aaron
    in

    When “financial stability” starts sounding like a margin call There is a certain elegance to modern finance. Governments borrow more money, dealers run out of balance sheet, and hedge funds arrive to save the day — with leverage, repo financing, basis trades, and just enough opacity to make everyone at the central bank start speaking…

  • A Contrarian’s Case for Precious Metals

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    by

    Aaron
    in

    In my estimation, Central Bankers around the world have an acute fear of deflation. Their prescription has been (and continues to be) hefty doses of easy money. A plethora of British Pounds, and abundance of Euros, a deluge of US Dollars, a surplus of Swiss Francs. This is an ongoing and concerted strategy to avoid…

  • Will Oil Always Be Priced in Dollars?

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    by

    Aaron
    in

    The oil industry began in Texas and so oil is priced in dollars. In 2009, however, the Independent reported what would be a highly-profound move: the Gulf States, China, Japan, France and Russia were negotiating to end dollar-denominated dealings in oil. Use would instead be made of a basket of currencies including the euro, Chinese…