NB – I have been unfairly general with the term “hedge fund” and “banker” in this piece and I hate myself a little bit (just a little bit) for doing that. Sorry in advance. It’s fashionable these days to hate on bankers. And at the same time it’s glamorous to be a venture capitalist….
A recurring conversation I have with clients concerns the ability of banks to create credit, and of governments to monetize debt, and whether this ability is the solution to or the cause of financial instability and economic crisis. Monetarists and structuralists (to use Michael Hudson’s names for the two sides, whose centuries-long debate pretty, exemplified by Thomas…
Last week, markets managed to push higher, propelled by the strength in the semiconductors and a late rally by the financials. Semiconductors have been drawing speculators searching for the next deal, ADI and MXIM being the latest in merger talks. SNDK remains on the radar as a takeover target. Financials were sluggish to start the week, as…
EUR/USD Signal Update Last Friday’s signals were not triggered and expired. Today’s EUR/USD Signals Risk 0.75% Trades may must be made before 5pm London time only. Long Trade 1 Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1315. Put the stop loss 1 pip below…
AsiaPac stocks were generally lower heading into the all-important Chinese macro data (S&P -6pts, Japan -0.7%, China -0.2%) as JPY erased Friday’s ramp and crude dropped back below $47. The PBOC left the Onshore Yuan fix practically unchanged (following Friday’s significant devaluation).Then the data hit… China GDP beat expectations (printing 6.9% YoY vs 6.8% exp) but is still the…
Here are my forecasts for upcoming economic data.
Crude Oil: The commodity may have closed lower the past week and reversed most of its previous week gains but on the daily chart it has put in a temporary bottom. This could trigger further recovery in the new week. On the downside, support resides at the 47.00 level where a break will expose the…
The dollar dropped about half a milligram gold, and 50mg silver. But who wants to read about the universal currency falling, failing? Few people are so barbarous as to think of the dollar’s value as being priced in terms a monetary metal. As all right thinking folks know, the value of these commodities is only…
Officially, the US has a fractional-reserve banking system (as does almost every other country), meaning that a fraction of deposits are backed by cash reserves held in bank vaults or at the Fed. In reality, the US has a zero-reserve banking system. I don’t mean that there are no reserves in the banking system, as…
Officially, the US has a fractional-reserve banking system (as does almost every other country), meaning that a fraction of deposits are backed by cash reserves held in bank vaults or at the Fed. In reality, the US has a zero-reserve banking system. I don’t mean that there are no reserves in the banking system, as…
