Archive - Mar 2011 - Blog entry

PMI should be dead by now. Why isn't it? IRA with the answer.

Current positioning is remaining firm, we're seeing the expected pullback in EURUSD, but the pair remains in the strong long zone overall. With the release of the Annual Budget in the UK at 8:30 am EST we expect some volatility with GBP crosses, this could have an impact on retail positioning. New Home Sales out of the US at 10:00 EST is a likely catalyst today if we get a major deviation from expectations.

Everything you wanted to know on how to stop the US public pension fund 'brain drain' but were afraid to ask...

Q: Is it fair to say that financial regulators are both a source and perpetuator of financial instability? Yes. Financial regulators have a unique position. They are the only financial market participant who can see the current asset and liability level data at any financial institution.

By two hours...

As it has turned out, the 'long war' threat from Gadhafi may not be as emply as some might think.

Do you find Ben Bernank difficult to understand? Here is Adam Smith translating for us.

My take on a big story today.

I don't think there's really anything an individual nation can do, not even China, when the Fed and the BOJ have their money spigots turned on full blast - everyone's going to get soaked and there's nothing they can do about it.

Nothing defined Alan Greenspan’s tenure as chairman of the Federal Reserve Bank more than his wholehearted embrace of capitalism. With early roots in his 30-year association with the novelist and philosopher Ayn Rand, that faith grew into an unconstrained confidence in the free market and deregulation to steer the economy and ward off crises.

The threat of margin compression should now be visible to even the most ardent Apple zealots as prices of the most popular products hit the "Free" mark on one of the most well known platforms. Lawsuits ensue, as is par for the course. One day about two years from now, people are going to look back and say, "...but it was so obvious!"

The “RISK OFF” trade could deliver a huge flight to safety for Treasury bonds. Is shorting short dated bond puts the best play?

EURUSD and GBPUSD continue to make parabolic up moves whilst retail traders increase short positions. We would advise caution in the short term as strong moves like this do not tend to last, so we may see a pullback in the short term. We remain very much in the strong short zone as have for a long while with the USDCHF and USDJPY. The swissy has sustained good momentum behind an overall down trend especially last week with 5 straight down days.

Nah ... Dat silly congwessman is just spouting silly conspiwacy theowies ... move along now, f-f-f-f-f-olks!

Why does our government and Dr. Bernanke fail to see the obvious: inflation is here and it's worse than you think. All the world is inflating right now and the flood of newly printed money is chasing assets worldwide. What does this mean to our economy? Think about this: what good will a cheap dollar be for exporters when the rest of the world combats their internal inflation? If cheap money fuels demand, then ...