Imagine being able to predict market crashes by looking at the height of skyscrapers. Does this seem too far-fetched to you? Actually, the skyscraper index is one of the more robust indicators of economic downturns and crashing markets. And for good reason. The theory is simple: the construction of the next ‘tallest building in the world’ marks the end of a stock market peak. Today ... »
When Skyscrapers Reach Record Highs, Buy Gold
August 1 2014
Olav Dirkmaat
The Inflation-Manipulation Saga and the Gold Price
July 25 2014
Inflation is one of the most pernicious phenomena that permeates our society. It not only erodes the purchasing power of our money and prejudices a majority of the people; it also creates micro-economic havoc by inducing distortions in our production activities. It is not just the ‘general price level’ that moves up and down, but it rather induces something we call the ‘Cantillon... »
Olav Dirkmaat
3 Questions You Should Ask about Flight MH-17
July 18 2014
Yesterday, Malaysia Airlines lost another of its Boeing 777s. After flight 370 it is now flight 17 that went down. It all happened when Obama was announcing he would expand the economic sanctions on Russia, again. With 298 fatalities, among whom 189 Dutch, the assault has stirred emotions... »
Olav Dirkmaat
Fooling Some of the People All of the Time
July 11 2014
Corporate fraud, questionable accounting practices and plain deception are nothing new on Wall Street. Hedge fund manager David Einhorn of Greenlight Capital even wrote a book about it. Aptly called ‘Fooling Some of the People All of the Time’, the book narrates a story about a private equity investment firm named Allied Capital, which Einhorn shorted in 2002. In 2008, after six long y... »
Olav Dirkmaat
