Like the last couple years of the US unemployment rate, increasingly China’s trade data finds itself in isolation without corroboration.
Thinking their economy was sufficiently robust to overcome a non-economic factor, the tax hike, they instead were forced into making excuses throughout Q4 2019 as to why it instead seemed to collapse so easily.
This isn’t 1930-33 levels but it is beginning to look like the same kind of thing, a serious fracture in the economic system which extends beyond the first order effect of the COVID-19 shutdowns.
Following along the same top-down model, what unites central bankers and socialists is equality. Handing over significant authority to either results in everyone being equally impoverished. And, therefore, those very authorities fighting over minute scraps so as to display some sense of accomplishment.In October 2015, safely nested within the cozy confines of Brookings, being paid […]
Saudi Arabia once burned through the bond market on par with demand for Argentina’s paper. During the 2016-17 globally synchronized growth-inspire Eurobond binge, the country made up for its lost oil revenues (oil crash and all) with dollar-denominated, offshore debt flotations. These merely stabilized the country’s forex reserves after they had collapsed (by a third) […]
March 15 was when it all began to come down. Not the stock market; that had been in freefall already, beset by the rolling destruction of fire sale liquidations emanating out of the repo market (collateral side first). No matter what the Federal Reserve did or announced, there was no stopping the runaway devastation.It wasn’t […]
To counter the growing angst, Treasury Secretary Mnuchin declared over the weekend that his super-secret economic models say everything will be back to normal, if not better, starting around August. Nothing more than a painful memory by autumn.
I never said it wasn’t powerful. What I continue to show is that it doesn’t work. Ben Bernanke kept his job because despite the carnage, in times of turmoil people are willing to give anyone a second chance. And if the turmoil never ends, so much the luckier – for him. Anyone who promises it’s […]
Everything about the current period smacks of the Great FInancial Crisis, right down to the stupid monetary policies central bankers are using to claim this is not a GFC. In oil markets, it’s even worse,
You should be seriously unnerved by the slow decline in LIBOR.