Today could be the day. Summer seems to be ending early and events are very definintely in control. Policy makers, however, are divided, fractious and out of ideas. Days of falling markets and the declines are getting steeper. We are adrift. In the US, the FOMC (Fed Open Market Committee) was completely divided on whether […]

I think Japan is in all kinds of trouble. The Yen is trading at its highest against the Dollar in 15 years. Which is killing Japan exports. Japan’s economic growth is nearly all export driven and its growth shunted to a halt last quarter going from 1% to 0.1%. There is the definite feeling that

There’s nothing quite like Mergers and Aquisitions to raise the animal spirits of the markets. There’s something primal and prurient about watching them. It’s like seeing one of those really huge snakes open its jaws impossibly wide as it slowly wriggles forward, engulfing some still breathing animal that’s as big or bigger than it is.

Last week was a disaster for those who would have us continue to have faith that growth will save us. This week the markets must rally to restore hope to the faithful. If it does not there will be a crisis – of faith. The signs of growth are like the promise of Christian Redemption.

I wrote quite a lot about GM when it was going down because it was such a bell-wether of America as a whole. So I think it only fair to write something in the same vein, now it is coming back. GM is preparing to offer investors new shares in its re-vamped company. To me,

The US already capitulated and re-started QE. They tried to soften the edges by saying it was ‘just’ re-investing money already in existence that was coming free as previous holdings of mortgage backed securities expired. Yadda yadda! It was QE and the markets knew it. Today shares in Japan had their first good day in

One of the arguments that has spilt more ink than almost any other over the last year, at least, is are we having or going to have hyperinflation or a deflationary spiral. The argument rages every time someone mentions QE. I want to suggest that we are having and will have more of BOTH. For

Have you ever been on the motorway and run into a traffic jam only to get to the front of it and discover there was no reason for it at all? One of those jams caused by someone slowing a bit, for no reason, but which causes the people behind him to slow down a

To the US now. The big event coming up in the US is the Mid term elections in November. It will be when voters pass judgment on Obama and the Democrats. I expect the Democrats to get a kicking. If they do and lose any workable majority then the Republicans will have the whip hand

Let’s move on to Spain. A long while ago I mentioned that there would be problems with regional debts in Spain, Portugal and Italy. The reason I mention this now, is not to blow my own trumpet but to make it clear that no one should be believed if they claim to be surprised or