Tag Archives: Featured

The US dollar and yen remain firm.  The ramifications of Brexit continue to weigh on sterling and the euro.  After nearing $1.4050 yesterday, sterling could not move much above $1.4150 before sellers re-emerged.  The euro, which came close to $1.10 yesterday, was sold into about half a cent bounce.  It marginally extended yesterday's decline, slipping to almost $1.0990.  There is no fresh catalyst, but Germany's IFO survey did the single currency no favors.  The assessment of the...

Italy is big enough to matter (it is the eight largest economy on the planet), but so uneventful that most does not pay any attention to what is going on there. We contend that Italy will, during the next year or two, be on everyone’s radar screen as it has the potential to derail the European project for real. Greece, Portugal and Ireland were mere test subjects for what will come. Spain would have been a challenge, but were narrowly avoided. Italy will drag the whole structure down if...

Italy is big enough to matter (it is the eight largest economy on the planet), but so uneventful that most does not pay any attention to what is going on there. We contend that Italy will, during the next year or two, be on everyone’s radar screen as it has the potential to derail the European project for real. Greece, Portugal and Ireland were mere test subjects for what will come. Spain would have been a challenge, but were narrowly avoided. Italy will drag the whole structure down if...

As the European Union grew, the unanimity in decision-making increasingly gave way to qualified majority voting.  This development took away an important weapon the UK deployed to pursue its national interest.  It use often to frustrate the collectivist decision-making in Brussels and exert its will for a broad union that preserved national sovereignty. National sovereignty is at the crux of the matter now.  This is the bedrock upon which those who want the UK to leave the EU are basing...

As the European Union grew, the unanimity in decision-making increasingly gave way to qualified majority voting.  This development took away an important weapon the UK deployed to pursue its national interest.  It use often to frustrate the collectivist decision-making in Brussels and exert its will for a broad union that preserved national sovereignty. National sovereignty is at the crux of the matter now.  This is the bedrock upon which those who want the UK to leave the EU are basing...

The US dollar has begun the week with a strong advance against sterling and the euro. Sterling's drop, the most in several years, is not a function of macroeconomic policy.  It is a function of Brexit and its endorsement by London Mayor Johnson.  Recent polls and identified Johnson, who term as Mayor ends in early May, as the second most influential person on the issue after the Prime Minister himself.  Sterling fell to about $1.4050 by early North American trading and has subsequently...

The US dollar has begun the week with a strong advance against sterling and the euro. Sterling's drop, the most in several years, is not a function of macroeconomic policy.  It is a function of Brexit and its endorsement by London Mayor Johnson.  Recent polls and identified Johnson, who term as Mayor ends in early May, as the second most influential person on the issue after the Prime Minister himself.  Sterling fell to about $1.4050 by early North American trading and has subsequently...

There are times you try to connect the dots. There are others where those connections warrant adorning your trusted tin-foiled cap of choice; for you just can’t get there unless you do. This I believe is one of those times. And if correct? What at first might appear apocryphal, may in fact, be down right apocalyptic. And besides, what good is a tin-foil capped conspiracy theory anyhow if it doesn’t have the potential for doom, correct? So, with that in mind, let’s venture down some roads...

Global equities are beginning the last week of February on a firm note.  The MSCI Asia Pacific Index rose 0.75%, with China's markets gaining more than 2%, leading the way. European shares have followed suit.  The Dow Jones Stoxx 600 is up 1.7% near midday in London, led by materials and telecom.  Like the MSCI Asia-Pacific Index, the Dow Jones Stoxx 600 is flirting with last week's highs.    Oil is trading nearly $1 a barrel higher, even though many are skeptical that the Russia and...

Global equities are beginning the last week of February on a firm note.  The MSCI Asia Pacific Index rose 0.75%, with China's markets gaining more than 2%, leading the way. European shares have followed suit.  The Dow Jones Stoxx 600 is up 1.7% near midday in London, led by materials and telecom.  Like the MSCI Asia-Pacific Index, the Dow Jones Stoxx 600 is flirting with last week's highs.    Oil is trading nearly $1 a barrel higher, even though many are skeptical that the Russia and...