Tag Archives: newsletter

The US created 209k jobs in July and jobs growth in June was revised higher (+9k) to 231k. The underemployment rate was unchanged at 8.6%. United States Nonfarm payrolls The 287k nonfarm payroll growth in June (265k private sector) will ease fears that the US is headed for a recession.  That type of jobs growth, and the stronger than expected, service sector ISM earlier this week, are not consistent with a...

Wie der erste Teil darzulegen versuchte, muss einer Ausweitung der Geldmenge durch Geschäftsbanken zwangsläufig eine Vermehrung der Basisgeldmenge vorausgegangen sein. Ohne eine Entscheidung der Zentralbank, den Geschäftsbanken –vorgängig oder nachträglich – Basisgeld zur Verfügung zu stellen, ist eine jede Geschäftsbank aufgrund der gegenseitigen Konkurrenz untereinander in deren Möglichkeit, Geld zu schöpfen,...

Swiss Franc The Euro has fallen by 0.15% to 1.1475 CHF. EUR/CHF and USD/CHF, August 04(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates There are some chunky option strikes that could come into play today. There are 920 mln euros struck at $1.1850 that expire today. There are A$523 mln struck at $0.7950 expiring today. There are $680 mln struck at CAD1.2550 that will be...

Introduction Being a small open economy Switzerland is highly exposed to the girations of the world economy, both through international trade and financial flows. The country’s trade surplus for instance accounted for nearly half the GDP growth between 2000 and 2007.2 While the growth contribution from trade has slowed during the global crisis, the linkages with the world economy remain important for Switzerland. This...

I suspect President Trump has been told that markets don’t like radical changes. If there is one thing that any elected official is afraid of, it’s the internet flooded with reports of grave financial instability. We need only go back a year to find otherwise confident authorities suddenly reassessing their whole outlook. On the campaign trail, candidate Trump was very harsh on Janet Yellen. Now six months into his...

– Shrinkflation has hit 2,500 products in five years– Not just chocolate bars that are shrinking– Toilet rolls, coffee, fruit juice and many other goods– Effects of shrinkflation been seen for “good number of years” – Consumer Association of Ireland– Shrinkflation is stealth inflation, form of financial fraud– Punishes vulnerable working and middle classes– Gold is hedge against inflation and shrinkflation Editor: Mark...

In a CEPR discussion paper, Cedric Tille argues that Switzerland’s international linkages have been transformed over the last decade. Abstract: - Click to enlarge Over the last decade, the economic linkages between Switzerland and the rest of the world have been transformed. First, merchanting and the chemical industry account for an increasing share of international trade, with chemicals exports expanding...

Former Fed Chairman warns of bond bubble, stagflation “Moving into a … stagflation not seen since the 1970s” This will not be “good for asset prices” 10 Yr Gov bond yields fell from 15.8% in 1981 to 2.3% Interest rates will not stay low, will rise ‘reasonably fast’ “Normal” interest rates in 4%-5% range Inflation will not stay at historically low levels Gold “protects savings” and is “store of value” Gold is the...

Bern, 02.08.2017 – Consumer sentiment in Switzerland is on the rise again in July. The index reached -3 points – well above the long-term average (-9 points). This confirms the recovery in sentiment from the lows following the sharp rise in the Swiss franc. In comparison to the survey of April, consumers’ expectations for economic growth and for the job market have become considerably more optimistic. In contrast,...

Swiss Franc The Euro has risen by 0.68% to 1.472CHF. EUR/CHF and USD/CHF, August 02(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Trends The euro’s strength is surely partly a reflection of US dollar weakness, but it is also a reflection of the improved sentiment among investors. The initial dollar losses at the start of the year was largely a correction that is common after...