Archive - Sep 2, 2009 - Story

"Recent weeks have seen commentators either busy throwing in their towels, as the equity bull market has marched resolutely upwards and onwards (maybe that will change after Monday), or wrestling with their conundrums. Many have found the robustness in government bond prices through August most perplexing, especially when set beside continued resilience in developed equity markets. Once again, equity participants are missing the big picture. For despite clear signs from the business surveys of some sort of H2 recovery, firm evidence is emerging that the global economy is sliding towards a full-blown deflationary episode once this recovery falters." - Albert Edwards

• Michael Pento: Banana Ben strikes again (Delta Global)
• Giant oil discovery for BP in GOM, maybe jackup values will finally go up (Bloomberg)
• As the fat has been trimmed, nobody is playing Solitaire - productivity up substantially, but could be merely on ever decreasing hours worked per week (AP)
• Bubbleless, stocks still playing catch-up (WSJ, h/t Aditya)

• Asian stocks fall as Seven & I, Sekisui House lower earnings forecasts.
• Australia’s GDP unexpectedly accelerated in Q2 by 0.6% on consumer spending.
• China will increase gasoline and diesel prices by $43.92 a metric ton.
• China’s high price for emission cuts; $438bn a year estimate by 2030.
• Business group says China raising curbs on foreign companies amid global crisis.
• Euro largely steady at $1.4211 in European morning trading.