Hi, Greg Canavan here. I hope you’re enjoying some downtime somewhere. It’s exactly what I’ve advised my fellow editors to do…rest and relax. It’s been a long year, especially for those of us who had to endure Victoria’s lockdown and curfew rules. So a good unwind is required before we get back into it in 2021.
So for the next week, you’ll get something different from us here at The Rum Rebellion. You’re probably familiar with the work of Dan Denning, who is a regular contributor to this publication. Dan works closely with Bill Bonner, and writes for The Bonner-Denning Letter, with which you might also be familiar.
Bill is one of the founders of Agora, which is the parent company of Port Phillip Publishing, the publisher of The Rum Rebellion. Bill has quite the network to draw upon. One of the recent projects they’ve been working on is the Bonner Private Research Podcast, hosted by Aussie expat Joel Bowman.
Over to you, Joel…
As you’ve no doubt read, money printing here in the West has gone into hyperdrive this year, with the US Federal Reserve adding $3 trillion to its balance sheet between February and June alone, taking its total holdings from around $4 trillion to just over $7 trillion.
For context, the Fed’s balance sheet back in 2002, after the dotcom bubble had burst, was less than ¾ of $1 trillion.
As Pantera Capital CEO, Dan Morehead, noted at the time:
‘The United States printed more money in June than in the first two centuries after its founding. The U.S. budget deficit for that month — $864 billion — was larger than the total debt incurred from 1776 through the end of 1979.’
What might this portend for our own future? Perhaps a look into the past can provide some clues. I spoke to Dan Denning, co-author of The Bonner-Denning Letter, about all this and more in our latest BPR Podcast. Listen to our conversation here.
Contributor, The Rum Rebellion
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