This is an interesting discussion with Elliot Capital’s Paul Singer. Singer discusses the crisis of confidence in fiat money and 40 years of developing monetary policy intervention. Singer notes how a trapped Fed has reveled in the role of Atlas, supporting economies and political bodies which have been void of any fiscal sobriety for years. Singer suggests that much-needed fiscal sobriety will not arrive any time soon.
“The future is something that is not something you can peer into from today. It will matter tremendously if confidence is lost. How can confidence be lost? Confidence can be lost in some combination of a rise in the price of commodities and gold, a consciousness of inflationary potential, a continued lack of accelerating growth, social unrest, and accelerating of QE. Forget tapering, I think tapering is off the table.”