Archive - Sep 24, 2010 - Story

• CNBC's new pet blog is off to an unsurprising start: not only does it steal Zero Hedge stories without attribution, but apparently it discovered the entire correlation story - (NetNet). As a reference, Jeff, here are Zero Hedge's nodes on implied correlation going back into 2009, and here is our Nicholas Colas post. But yes, we also were very shocked someone out there read this to begin with. So keep stealing guys, nobody will catch it.
• Two quotes of the day: "Irish debt agency CEO not worried about daily swings in bond spreads" and "Irish Finance Minister says concerned by yields in recent debt sales "
• China Will Focus On Peaceful Development: Wen (China Daily)
• China Takes Lead In Financial Deals (FT)
• Spat Tests Japan's New Government." (WSJ)
• Eurozone Crackdown On Public Finances (FT)
• Spain Under Pressure to Show `Hair Shirt' Budget as Yields Rise (Bloomberg)

At least one asset class is very much happy from the BOJ's latest FX intervention failure (see chart below): gold. Spot is pennies away from $1,300 and will pass it within hours if not minutes. To all those who still fail to see why the world is forcing a return to that barbaric relic - the gold standard - our condolences: keep shorting. To everyone else, to whom the fiat devaluation story presented on Zero Hedge almost 40% gold percent ago, is now as obvious as to those trading the JPY, well... 40%. Nuf said.

• Asian stocks fall for third day on global economic concern.
• Bank of Japan mum on intervention talk after yen's sudden drop against dollar.
• China's control of a key minerals market has US military thinkers, policy makers worried.
• Democrats abandoned plans to vote before Election Day on extending Bush-era tax cuts.
• Euro weaker at $1.3317; dollar up to 84.72 versus yen.
• German business confidence improves modestly in September; highest since June 2007.
• Oil floats near $75 in Asia; mixed US economic data suggest weak crude demand.

RANsquawk European Morning Briefing - Stocks, Bonds, FX etc. – 24/09/10

The half-life of central bank interventions is getting shorter and shorter. After Shirakawa decided to show the Fed who is boss, only to be met with the biggest beatdown the dollar has experienced since March, tonight the BOJ decided to show Bernanke how it's done. Too bad the idiots at the BOJ have learned nothing from the SNB's Hildebrand, who was last seen cowering in a fetal positions, underneath his desk. After surging by 100 pips post the second intervention in a row, the "wolfpack" is back, and the yen has retraced more than half it losses in under 2 hours. This pathetic attempt to weaken its currency has just cost the BOJ another few trillions yen, while the end result is the same: a Japan whose export economy is about to be crushed, and a central bank president who will now be forced to join the ranks of the unemployed within a month.