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Multiple Turning Points in Asset Markets!

Monthly Market Commentary: August 1, 2024

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Multiple Turning Points in Asset Markets!

In Singapore, the Government Investment Corporation (GIC) acts as a sovereign fund (it manages close to US$ 800 billion.) It just reported its 5-, 10- and 20-year returns. Its annualized 20-year nominal return dropped to 5.8% from the 6.9% return it reported a year ago. “On an inflation-adjusted basis, the GIC’s 20-year return fell to a four-year…


Stock Markets climb to the highest Peak but cannot dwell there Long

To my surprise, the Bangkok Post published in early May 2024 a reader’s letter entitled A failed State? The letter to the editor of the Post referred to a column written by a professor entitled: “Thai police graft highlights bigger issues.” The failed State letter to the editor stated that, “The characteristics of a failed state include, but are…


How Do We Define Inflation?

The late Kurt Richebächer addressed the subject of inflation and deflation in a 2006 newsletter. Among others, he quoted J.M. Keynes who in his A Treatise on Money, first published in 1930, commented on a table about bank credit, the wholesale price index and stock prices thereof as follows: “Anyone who looked only at the index of prices would see…


It is the “Money Illusion” that makes Inflationary Policies Popular

For a change, Fox Business recently reported about an interesting legal case under the title Dancers sue strip club claim it ‘forced a socialist economic system’ by forcing them to share tips (April 10, 2024). Not that this case is terribly relevant for us, nevertheless it is still interesting as an experiment as to how far we do or don’t lean to…


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