Gold: Give Me Stimulus, Or Give Me Death

OTTAWA • Mark Carney is wasting little time setting the tone for his tenure at the helm of the Bank of England. Recent comments — both here and abroad — by the Bank of Canada governor have been spiced with calls for other policymakers to keep their options open to ensure “escape velocity” for their economies. In other words, Mr. Carney, who will be transplanted to London in July, sees more wiggle room for monetary easing to stop the global economy from tipping back into recession. While much has been achieved, more needs to be done

As many expected, the Bank of Japan has upped the cost in its fight against deflation by increasing the country’s inflation target from 1 percent to 2 percent.   But even the bank’s commitment to hold interest rates near zero and keep buying up assets until the 2 percent inflation target becomes a reality has not overly impressed market watchers.  

Asset price correlations across a wide spectrum of industries and asset classes are meaningfully lower than the last few months. ConvergEx's Nick Colas note that this is something completely unexpected: we’ve approached a “Normal” capital market over the last 30 days.  

Gold is little changed today in pound, euro and dollar terms after the Bank of England and the ECB kept interest rates at record low levels. Ultra loose monetary policies continue. Gold in Japanese Yen, 4 Day – (Bloomberg)

RTE News editor Tony Connelly brought us another key excerpt via Twitter from billionaire investor George Soros' speech at the World Economic Forum in Davos, Switzerland: