Refinance

Michael Pento-Bond Bubble is Epic





There is a report bubble in bonds, and revenue supervisor Michael Pento warns, “Where’s the ten-calendar year Treasury proper now? It was 1.3%, and now it’s all over two.6%. We’re heading to 4% on the ten-calendar year Treasury. That, by definition, is an absolute bursting of the bond bubble. The trouble is this: All property are priced off of the ‘risk free’ price of return, ‘risk free’ price of return on sovereign financial debt. All asset price ranges ended up priced off 1.3% of the ten-calendar year Treasury, or a adverse forty basis points on the Japanese ten-calendar year, or adverse yielding German bunds, all property, and yes that consists of genuine estate and stocks. So, the bond bubble is epic. It is that big in proportion, and it is now bursting.”

Pento goes on to alert, “The genuine estate market place is commencing to go off-line. If you search at new property commences, they ended up down 19% in November thirty day period about thirty day period. There is no much more refinancing market place. It is long gone off-line. The first purchase apps have flat lined. . . . As the housing market place goes, so goes the financial system. Though the Dow and the S&P five hundred have surged just after November ninth, just after Trump was elected, emerging marketplaces are down eight%. . . . The emerging market place economies and their currencies are crashing, and that is where I see the epicenter of the bubble breaks.”

In closing, Pento states, “This much better greenback and this increase in Treasury yields is not heading to last extremely extended. They are heading to have to reverse course. When they do, they are heading to temporarily convey that generate back down. They are heading to build unparalleled inflation like you have hardly ever witnessed in advance of–even worse that the 1970’s. You are heading to want to have gold at that juncture.”

Be part of Greg Hunter of USAWatchdog.com as he goes One-on-One with Michael Pento of Pento Portfolio Techniques.

All one-way links can be uncovered on USAWatchdog.com:

35 comments

  1. China has 70 Trillion USD in global assets through their SOE's and reserves. Talk about a collapse is rather silly if not misinformed.

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  2. 2 PETER 3:10 UNTO ECCL 4:3 AKA REV 14:13 FOR THE RIGHTEOUS, ONLY, IS AN INFINITE AMOUNT MORE HONEST AND SUPERIOR, INTELLECTUALLY, TO THESE JEWISH (JUST EVIL WAX DUMMY) REPORTS (JOHN 8:44) OF COURSE.

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  3. 3 is a round number?

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  4. The rider on the black horse causes famine in some sectors but doesn't touch others.

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  5. He might be making a tiny little mistake in his analysis. Both the ECB and the BOJ are still printing crazy amounts of money every months, which has actually been putting a huge bid on treasuries. So at the very least I can't agree with his timing. I think stocks actually go much higher from here first….

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  6. In the age of robots, what crappy job is safe? They will eventually have robots to fix the robots. Vast groups of people will become irrelevant.

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  7. LOVE your stuff, Greg. Thank you!!

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  8. Trump placed former Goldman Sachs partner Steven Mnuchin as Treasury Secretary. Goldman Sachs has a long history of insinuating its alumni into vital positions within government bodies dealing directly with the economy. Mnuchin is particularly troubling because of his ties to George Soros; Mnuchin used to work directly for George Soros at Soros Fund Management up until 2004.

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  9. Listen! I never listen to a guy who prefaces everything he says with "listen".

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  10. Michael Pento Warns of “Chaos in the Markets and a Big Leg Down”
    NEW RADIO RELEASE September 11th, 2015

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  11. Michael Pento, a fairly prominent gold bug, recently appeared on CNBC for a discussion on Bitcoin. Based on his performance the only thing I could think of was, ‘This has to be an April Fools joke. Then my mind shifted to the phrase that it is better to remain quiet and be thought a fool than to open one’s mouth and remove all doubt.’
    Mr. Pento really should have read Murray Rothbard who, in The Death Wish of Anarcho-Communists, wrote:

    It is no crime to be ignorant of economics, which is, after all, a specialized discipline and one that most people consider to be a ‘dismal science.’ But it is totally irresponsible to have a loud and vociferous opinion on economic subjects while remaining in this state of ignorance.

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  12. Confiscation of gold coming to help stop runs on banks? Physical gold/silver could dry up fast.

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  13. US Dollar will continue to rise in the short term as people sell their local currency and buy the US Dollar to protect themselves purely because the US Dollar is the reserve currency and the Euro is very dodgy. The other safe curency is the Swiss Franc. Gold is incredibly cheap at the moment and would look at buying physiical gold now.
    Pento's theory on China is wrong also because the Chinese government can print money just like the Central Banks have been doing and drag things out. I would argue that the share price could even continue to go up because what is the alternative investment and one wouldn't want to keep cash in a bank would one?

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  14. No one has been more right than Fabian4Liberty on this channel. He called Dow 20.000 long time ago. Of course perma bears and bulls will be right sooner or later, but they will also be wrong sooner or later… In the markets is all about getting in and out at the right time…

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  15. 2:45 … A year ago at this time The Fed also said it would raise rates several times during the following year and we know it didn't. Let's see if it happens. But I get what you're saying, Mr Pento.

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  16. Is this guy aware how a Ponzi scheme works?

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  17. Greg manereno has always said watch out!!! this guy is saying watch out for the bond market bubble. this will be the catalyst to the collapse of the stock market

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  18. fundamentals are going to rock our world!!! the economy will have to come down to earth!!! hang on !! buy Silver and gold and cash out of currencys!!! the already made some currencys obsolete look at India and and other countries controlling their currency like a casino chips cash out to real money gold and silver.

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  19. They don't like Donald Trump "because they're Keynesians"? Not exactly, they don't like Trump because he is not a CFR-Federal Reserve conspiracy stooge puppet and he will not tow the globalist line. They like known quantity obedient servants.

    I took the BEA data on total yearly interest owed (minimum debt service load) on total US debt (public AND private), and I charted that over the last 40 years or so vs. total GDP. What I found is when yearly interest costs exceeds 20% of GDP, you get a recession. Right now we are at about $2.4T of interest owed on about $66T of total debt, which is about 15% of GDP. Total debt is also growing about $2.5T a year. Should the average interest owed rise to 20%+ of GDP, watch out! And there are other post 2008 monetary factors that might have lowered this threshold below 20%.

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  20. Michael Pento is brilliant. Thanks for the interview Greg. A+ and thumbs up.

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  21. Wow. This was an excellent interview.

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  22. Can anybody tell me what effect a collapsing bond market have on a money market account?

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  23. Amazing interview!

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  24. Mr Hunter, great interview, and Mr Pento, great interview. Thanks to both of you for doing what you do. Really glad at the end you both got to the issue of the gold inflection point. Putting it in terms of late January – early February reports makes so much more sense than putting a number on gold spot. That helped me a lot! Wishing you all a joyous Christmas season, all over the world!

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  25. Mr. Pento is like a LEGIT hardworking Robert DeNiro.

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  26. How do you not have over 100k subs?

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  27. No 4% bonds anytime soon. Deflation again first. Dollar strength is cratering emerging markets.

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  28. you just have to love Pento, so factual and honest. Great interview Greg.

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  29. Pento is brilliant and one of my favorite financial analysts.

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  30. Thank You Greg, another great show. I am no economist and I sometimes struggle to see the complete picture, but when I hear the the common critique of China and it's empty cities and infrastructure , I can't help but marry that to: them buying all that gold, the global reset being a forgone conclusion, and their propensity to plan a century in advance… I'm struck with the unrelenting impression… They're doomsday prepping! On that swell note… Merry Christmas.

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  31. China's troubles discussed at 13:38. Jim Chanos has been saying the same since at least 2010.

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  32. China pop 2017?

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  33. Reaganomics started at completely different conditions and he had 2 recessions at the beginning of his term. We were in completely different stock and bond cycles. We had much lower debt ratio. Interest rates were high. Still had manufacturing here. Since then our economy has had more manipulation than they could ever have imagined possible. We changed all the definitions of things since then like about inflation and unemployment numbers. Everything is way different.

    Another stupid idea is that we can have a trade war with China. It is not going to happen.

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  34. We need writers to start writing books that call out the individuals that are responsible for decisions that have been and is affecting the economic security of this nation. Only then will we have a chance to call them out on their lack of morals and empathy for human life. Call them out on why the practice of 'profit over human life' is so pervasive and how it is the rule of law in running the largest corporations.

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  35. Nothing is every going to happen because it hasn't already happened. Life in the Matrix!

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