Coming in Hot
At the present rate, the war would add about a half a trillion to the US deficit this year. If it goes on as long as the war in Afghanistan, it will add $10 trillion to the debt.
No Index
Real Money Terms
Real output is already very cheap in gold terms. Instead, the most likely correction will take place in the stock market itself, either because the dollar sinks or because stocks sink…or both.
The Fuse is Lit
We’ve seen what a sharp, sudden spike in interest rates (the availability of credit) does; businesses tighten up, employees are let go, spending goes down and GDP rates go from positive to negative.
War at the Improv
We will soon get to see what effect a sudden uptick in oil prices will actually have. Will it send modern economies into recession? And when investors see it depressing corporate earnings?
Courting Disaster
The most remarkable thing about the bombing of Iran is the premise behind it. We’ll come back to that in a minute.
The Nuclear Option
The US war strategy is still cloaked in confusion. But we think we know what Iran had up its sleeve. With only a tiny, largely dysfunctional military the country had almost no way to protect itself…
