103. Money Game I - The Fed "Broke" the Ecosystem of Capitalism - Chris Galizio

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Chris Galizio joins us on the Foundery to talk about how the Fed intervening in bond markets "broke" the ecosystem of capitalism. As the professor in "Money Game" put it "Capitalism requires risk (interest rates). When you remove risk from the ecosystem, you change the ecosystem”. We have been living in a zero gravity financing system for so long, that companies that lose money have market caps in the stratosphere.

0:00 Welcome
1:24 Money Game Movie - The Fed "broke" the ecosystem of capitalism
2:17 An anemic recovery
4:31 Money is still "free" - Negative Real Interest Rates
6:13 Central banks are buying gold again
6:53 Markets don't make sense
8:33 Gromen on Bonds
9:00 The US Federal Debt is Unsustainable
9:39 There is no price discovery!
11:34 Before a currency collapses, stocks go up
13:09 The petrodollar system
15:50 TSLA vs. GM and F
18:00 The Fed as "Referee"

#macroeconomics #finance #investing