US Stock Market – An Accident Waiting to Happen

Jon Alternative Media, Economy, Market Commentary

Monetary Inflation Becomes Less Supportive of Asset Prices
We have recently discussed the sorry state of the junk bond market, as well as the noteworthy decline in the annual growth rate of US money supply aggregates. The latter has finally manifested itself not only in terms of narrow monetary aggregates like M1 (see chart) and AMS (‘Austrian money supply’, a.k.a. TMS-1, the narrow true money supply), but also in the broader true money supply aggregate TMS-2.
As a reminder, here is the most recent chart of the year-on-year growth rate of TMS-2 :

This post was published at Acting-Man on December 1, 2015.